On June 17, 2026, LG AI Research announced a collaboration with D&D Pharmatech to develop next‑generation peptide drugs using artificial intelligence. The partnership combines LG AI’s AI‑based molecular design technology with D&D Pharmatech’s experience in peptide therapeutics and clinical research.

Peptide therapeutics can target disease‑related molecules inside cells that are often inaccessible to conventional antibody drugs. However, most peptide drugs are delivered by injection because they are degraded in the digestive system. The two companies plan to use AI‑driven protein design to create peptides that can survive oral administration, potentially opening a new route for treating hard‑to‑treat conditions.

LG AI Research, a unit of LG Group founded in late 2020, has built the EXAONE family of large language models and operates an AI‑powered platform for pharmaceutical compounds called EXAONE Discovery. The platform analyzes multimodal data—including scientific papers, patent documents, molecular structures, and images—to identify promising drug candidates and support experimental design.

Lim Woo‑hyung, chief of LG AI Research, said the collaboration “goes beyond a simple technology introduction, as it represents an effort to develop specialized bio‑AI that addresses the complex challenge of drug discovery.” He added that the partners will work closely to “enhance both the speed and probability of success in developing next‑generation peptide drugs through AI‑driven protein design technology.”

Lee Seul‑ki, CEO of D&D Pharmatech, expressed confidence that the partnership would boost the efficiency of drug discovery. He noted that the company aims to demonstrate technological leadership in emerging areas of oral peptide therapeutics, including macrocyclic peptides.

D&D Pharmatech specializes in GLP‑1‑based therapeutics and has developed platforms for oral peptide delivery and long‑acting formulations. The company has secured patents for its oral peptide platform, “Oralink,” in Canada and Russia, and has been active in developing GLP‑1 class drugs for obesity and metabolic disorders.

The announcement was followed by a significant market reaction. D&D Pharmatech’s shares rose 18.01% on the Seoul bourse on the day of the announcement, while the benchmark KOSPI index increased 1.58%. LG AI Research is not a publicly listed entity.

The collaboration is positioned within a broader industry context where oral peptide drugs remain a technical challenge. Existing oral peptide therapies are rare, and most candidates face low bioavailability due to enzymatic degradation and poor intestinal permeability. AI‑based design offers a systematic approach to modify peptide sequences, enhance stability, and improve absorption.

No regulatory filings or product launches have been announced as part of the partnership. The companies have not disclosed specific timelines for clinical development or commercialization. As of the announcement, the collaboration is in the early stages of joint research and development.

The partnership reflects a growing trend of AI integration in drug discovery, particularly in the design of complex biomolecules. By combining LG AI’s computational capabilities with D&D Pharmatech’s therapeutic expertise, the two firms aim to accelerate the development of orally bioavailable peptide drugs that could address unmet medical needs.

At present, the collaboration remains a strategic alliance focused on research and development. No court proceedings, funding rounds, or regulatory actions are associated with the partnership at this time. The next public updates are expected to come from the companies’ subsequent progress reports or clinical trial announcements.

In summary, LG AI Research and D&D Pharmatech have entered a joint effort to apply AI to the design of orally deliverable peptide therapeutics. The partnership leverages LG AI’s EXAONE Discovery platform and D&D Pharmatech’s peptide expertise, with early market enthusiasm reflected in a sharp rise in the Korean biotech stock. The collaboration is still in its nascent phase, and further details on development milestones or regulatory approvals remain to be announced.