[Ip-health] Korean researchers claim cheaper method of making Fuzeon

[Mike Palmedo]

http://www.koreaherald.co.kr/SITE/data/html_dir/2004/07/05/200407050021.asp

Korean researchers claim cheaper method of making AIDS drug

 Korea Herald
July 6, 2004

A local start-up company has developed a simpler process to produce the
world's most effective medication for AIDS, an achievement that can cut
the production costs of the drug to less than half, company officials
claimed yesterday.

According to Incheon-based KoBiotech Co., its researchers have succeeded
in reducing the procedures needed to synthesize a peptide substance to
less than 10 stages from the current 102. The substance is the main raw
material for an AIDS medication called Fuzeon.

Currently, Fuzeon is the only medication that can curb the HIV virus at
its early stage before it invades the human immune system. But due to
its complex production, the drug is more than three times more expensive
than other AIDS medicines, costing patients $25,000 per year.

"Theoretically, the new method can drop Fuzeon's production costs to
less than half. The technology can contribute to making the medication
available to more people," said Kang Choong-kyung, KoBiotech's research
director.

Fuzeon is currently sold exclusively by F. Hoffmann-La Roche Ltd, the
Swiss-based pharmaceutical company. KoBiotech plans to negotiate soon
with the drug maker to produce the raw material for the AIDS medication.

Ryu Gwang-han, the company's vice president, said his company can also
transfer the synthesis technology to Hoffmann and receive royalties, but
he declined to elaborate. "Everything remains to be seen in the coming
discussions with Roche."

The research project, sponsored by the Ministry of Science and
Technology, took three years to complete with 15 researchers involved.
KoBiotech has filed for a patent on the technology to the Korean
government. The company said it would apply for an international patent
after obtaining a domestic one.

At present, there are more than 20 medications available to treat AIDS
and the global market for these drugs is estimated to be worth $5
billion. Many experts predict the market will more than double to $13
billion by 2007.

KoBiotech has mainly supplied microbe-nurturing equipment to the biotech
industry since its formation in 1987. But for several years it has
invested more than 20 billion won to shift its focus to producing raw
materials for medicines. As of last year, the company's revenues were
3.89 billion won.

(ktg1217@heraldm.com)

By Kim Tae-gyun