The Korea Drug Development Fund (KDDF), a government-initiated national program jointly supported by three health-related ministries, launched the second phase of its drug development project in 2021. With a $1.5 billion investment plan, the goal is to foster 1,234 competitive drug projects and achieve at least four US Food and Drug Administration (FDA)/European Medicines Agency (EMA)-approved new drugs by 2030. As of October 2025, KDDF has supported 496 projects, resulting in 34 licensing or co-development deals and 7 FDA orphan drug designations (Fig. 1a). KDDF’s oncology portfolio comprises 254 assets categorized by modality (Fig. 1b), with three standout oncology programs highlighted for their innovation.
Fig. 1 | Making innovation happen. a, Goals and achievements of the KDDF phase 2 program (2021–2030), including cumulative outputs as of October 2025. b, The oncology portfolio spans diverse modalities from small molecules and antibodies (including ADCs) to cell, gene, and nucleic acid therapies reflecting a balanced, next-generation approach aligned with global innovation trends. ADC, antibody–drug conjugate; RPT, radio-pharmaceutical therapy; TPD, targeted protein degradation.
DAAN Biotherapeutics: developing antibodies to target tumor antigens
DAAN Biotherapeutics is developing T-cell receptor (TCR) and T-cell engager (TCE) therapies using its proprietary TCR antibody platform targeting peptide major histocompatibility complexes. In parallel, the company is advancing a pro-body TCE platform, Tumor tArgeting Conditionally acTIvated t-Cell engager (TACTIC), which includes four key components: a tumor-selective cleavable linker; an anti-albumin Variable domain of the Heavy chain of a Heavy-chain-only antibody (VHH); an anti-cluster of differentiation 3 (CD3) antibody; and a tumor-associated antigen (TAA)-targeting antibody.
Novel cleavable linkers, highly sensitive to target proteases identified through the company’s proprietary multi-omics database, were designed using artificial intelligence (AI)-based structural modeling, virtual screening, and in vitro assays. These linkers showed higher protease sensitivity than competitors while maintaining similar stability in patient serum.
The anti-albumin VHH serves a dual function: it binds to human albumin to extend systemic half-life, and it masks anti-CD3 to reduce off-target toxicity in normal tissues. In pharmacokinetic studies, the VHH-conjugated TCE showed a greater than 30-fold increase in systemic half-life. In vitro assays also demonstrated a ~200-fold improvement in the therapeutic window, confirming the VHH’s effective masking role.
The basic TCE comprising anti-CD3 and anti-TAA antibodies showed strong cytotoxicity with a single-digit picomolar half-maximal inhibitory concentration (IC50) and achieved complete tumor regression in xenograft models. Based on these results, the company plans further in vitro and in vivo studies to validate the pro-body TCE, with results expected by mid-2026.
ProEn Therapeutics: ADC therapy for metastatic and colorectal cancers
ProEn Therapeutics is a biotech developing therapies based on bispecific binders created with its proprietary ArtBody technology, which can be applied to antibody–drug conjugates (ADCs), chimeric antigen receptors (CARs), radiopharmaceutical therapies, and more.
ProEn’s leading pipeline candidate, PRN 201, is a first-in-class therapeutic developed for metastatic colorectal cancer that is refractory to standard first-line agents such as anti-epithelial growth factor receptor (EGFR), anti-vascular endothelial growth factor (VEGF), and anti-programmed cell death protein 1 therapies.
Conventional EGFR antibody therapies strongly bind to EGFR expressed on normal cells, leading to skin toxicity as a side effect. In addition, they show no efficacy in patients with KRAS proto-oncogene, GTPase (KRAS) mutations.
By contrast, PRN 201 has been engineered to modulate its binding affinity, thereby minimizing damage to normal cells. In vitro studies have demonstrated its efficacy even in KRAS-mutant cell lines, indicating that PRN 201 could be effective regardless of KRAS mutations, while exhibiting higher tumor selectivity.
In animal studies, PRN 201 demonstrated more than five-fold greater antitumor efficacy than standard treatments in a KRAS-mutant colorectal cancer model. It was also shown to rapidly accumulate and persist in tumors while being quickly cleared from systemic circulation, which contributes to its low toxicity.
Beyond PRN 201, ProEn is collaborating to discover further preclinical candidates, utilizing ArtBody.
Rznomics: trans-splicing technology for intractable diseases
Rznomics is a gene-therapy biotech company developing an RNA-editing platform based on trans-splicing ribozyme technology. This platform targets and cleaves pathogenic RNA, then ligates therapeutic RNA to elicit a correction/edition effect. Its pipeline spans oncology, central nervous system disorders, and degenerative diseases, with an additional circular RNA platform utilizing the ribozyme-based self-targeting and splicing method.
Its lead candidate, RZ-001, is currently in phase 1/2 open-label, multicenter trials for patients with hepatocellular carcinoma or glioblastoma positive for human telomerase reverse transcriptase. RZ-001 is administered with oral Valcyte (valganciclovir), which is metabolized and activated to induce cytotoxicity and apoptosis in cancer cells. The program has received investigational new drug approval from both the US FDA and Korea’s Ministry of Food and Drug Safety (MFDS) and has been granted orphan drug and fast track designations by the FDA. Early clinical data show favorable tolerability and efficacy, supporting its potential synergy with immune-checkpoint inhibitors. Dose-escalation and expansion studies are ongoing.
Beyond RZ-001, Rznomics’ pipeline includes RZ-003 for Alzheimer’s disease, and RZ-004 for retinitis pigmentosa, which has received a Clinical Trial Notification (CTN) from the Therapeutic Goods Administration (TGA) in Australia. These programs highlight the broad applicability of trans-splicing ribozyme technology for intractable diseases.