CHA Biotech Group is currently constructing the ‘CGB-CIC Open Innovation Center (CGB-CIC)’ in Pangyo, Gyeonggi-do./Courtesy of CHA Biotech Group

CHA Biotech Group will open an open innovation center in Pangyo in the first half of next year in partnership with the Cambridge Innovation Center (CIC) in Boston, USA. This infrastructure can support the entire cycle of domestic bio ventures from startup to global expansion.

Han Gi-won, president of CHA Biotech, noted at a pre-opening event held at the CHA Biotech Complex in Pangyo on the 11th that "CHA Biotech has focused on key businesses starting with 'C', such as cell and gene therapies (CGT), Cell Banks, and Contract Development and Manufacturing Organizations (CDMO), and it is now time to grow the entire bio ecosystem through 'Contribution.'"

He continued, "The open innovation center, which will be completed by the end of this year, will be as large as nine World Cup stadiums and will redefine the K-Bio ecosystem."

Cambridge Innovation Center (CIC) in Boston, USA./Boston (USA)=Reporter Yeom Hyun-ah

◇ The bio cluster CIC will be the 11th global site in Pangyo.

CIC, which CHA Biotech is partnering with, was established in 1999 as a bio venture innovation hub near Cambridge, Boston, creating a close network with prestigious universities such as Harvard University and the Massachusetts Institute of Technology (MIT), as well as global pharmaceutical companies like Pfizer, ASTK, and Takeda.

Currently, it operates in 10 cities worldwide, including five cities in the U.S., Rotterdam (Netherlands), Warsaw (Poland), Berlin (Germany), and Tokyo and Fukuoka (Japan). It has grown into a global bio cluster that has hosted over 11,000 startups. The Pangyo center will be the 11th global site of CIC and the first campus in Korea.

Earlier, in May of last year, CHA Biotech Group signed a memorandum of understanding with CIC to establish an open innovation center. The goal is to attract bio ventures and research and development (R&D) corporations to the CGB (Cell Gene Biobank) being built in Pangyo's second techno valley to create a global-level bio ecosystem. CGB is a cutting-edge facility that integrates stem cell biobanking, CDMO production facilities, and Good Manufacturing Practice (GMP) manufacturing facilities.

The official name of the center opening next year in Pangyo will be the "CGB-CIC Open Innovation Center (CGB-CIC in English)." It is being built with a total area of about 60,000 square meters (10 stories above ground and 4 below) and is expected to house more than 30 bio startups.

President Han Gi-won suggested collaboration with various entities, including Johnson & Johnson (J&J) in the U.S., Johns Hopkins University, and the Stem Cell Center in Abu Dhabi (ADSCC), saying, "We will expand R&D based on CGB, focusing on aging, hard-to-treat diseases, and artificial intelligence (AI)-based cell and gene therapies."

Han Gi-won, CEO of CHA Biotech, is presenting at the Pre-Open event for the Open Innovation Center held on the 11th at the CHA Biocomplex in Seongnam, Gyeonggi-do./Reporter Yeom Hyun-ah

Inside the CGB-CIC, there will be manufacturing facilities for producing clinical test prototypes, quality control, and laboratories, in addition to offices and research spaces for corporations and institutions. Resident corporations will be able to freely use initial experimental equipment without purchasing it separately, as this equipment will be directly supported by CIC.

In particular, ultra-low temperature cold chain facilities will be provided. This key infrastructure will store and maintain bio samples through advanced freezing warehouses and handle global shipping.

There are also special benefits available only to companies at CGB-CIC. They can receive support from the domestic and international networks, CDMO facilities, and animal testing centers with which CHA Biotech collaborates, and they can utilize clinical trial infrastructure linked to hospital medical personnel and patients, which is the group's biggest advantage.

Yang Eun-young, vice president of CHA Biotech Group, said, "In conducting a preliminary demand survey on what infrastructure domestic bio ventures want while constructing CGB-CIC, over 60% indicated a need for small offices or laboratories," adding, "We reflected feedback on the need for prototype production facilities and storage space for biopharmaceuticals, as well as requests for shared equipment without expense burdens."

Space plan for the CGB-CIC Open Innovation Center./Courtesy of CHA Biotech Group

◇ CGB-CIC will officially operate in the second quarter of next year and provide overseas networks to startups.

The CGB-CIC center is scheduled to begin full operations in the second quarter of next year and is currently recruiting resident corporations.

Vice President Yang noted, "Over the past decade, many bio cluster complexes claiming to be open innovation centers have emerged across the country, but when comparing results, there is still a significant gap," explaining, "This is because there is no integrated platform in Korea that connects R&D, clinical trials, CDMO, and overseas partnering at once."

In fact, the companies residing in Boston's CIC raised over 30 trillion won in investments in 2023 and achieved 36 initial public offerings (IPOs), while the proportion of follow-up investments of Series B or higher for domestic bio ventures led by overseas venture capitalists (VCs) over the past three years is only 9%.

Vice President Yang stated, "Having attended the world's largest bio event, BIO USA, and the JPMorgan Healthcare Conference for over 15 years, I realized that having a constant network is more important than simply attending events," adding, "The Pangyo CGB-CIC center will provide a global network environment that can continuously connect with global pharmaceutical companies and investment partners for technology export opportunities."

Tenants of the CGB-CIC Open Innovation Center receive benefits for using the global CIC campus./Courtesy of CHA Biotech Group