
LG (003550) AI Research has joined hands with D&D Pharmatech to begin developing next-generation, artificial intelligence-based peptide drugs in earnest. The two parties plan to target the market for treatments of intractable diseases by combining AI drug design technology with biotechnology expertise.
LG AI Research said Thursday it had signed a main contract with D&D Pharmatech for a joint next-generation peptide drug development project at LG Twin Towers in Yeouido, Seoul, on Wednesday. The signing ceremony was attended by key figures including Lim Woo-hyung, head of LG AI Research, and D&D Pharmatech executives such as CEO Lee Slgi.
Under the partnership, LG AI Research will use an AI model that analyzes the structures of disease-causing proteins to design optimal peptide sequences and drug candidates that are difficult to discover through conventional methods. D&D Pharmatech will handle the structural design, synthesis and evaluation of the candidate substances derived by the AI, and carry out preclinical and clinical development as well as global regulatory approval.
The two parties plan to build a cyclical structure of "AI design–experimental validation–data retraining" to continuously enhance the precision of the drug development model. The goal is to reduce development time and costs while increasing the likelihood of clinical success.

Peptides are bioactive substances composed of short chains of amino acids, with the advantage of acting selectively on disease-causing substances within cells. However, because they are easily broken down by digestive enzymes, they have traditionally been developed mainly in injectable form.
The two parties are pursuing the development of oral peptide therapeutics with improved stability and absorption using AI. In particular, they aim to secure technological competitiveness in next-generation oral formulation fields such as macrocyclic peptides.
"This collaboration goes beyond simply introducing technology; it is a process of creating bio-specialized AI that solves the complex challenge of drug development through AI," said Lim Woo-hyung, co-head of LG AI Research. "Based on AI protein design technology, we will actively cooperate to simultaneously improve both the speed and likelihood of success in developing next-generation peptide drugs."
"By grafting LG AI Research's world-class AI capabilities and data-based learning know-how onto D&D Pharmatech's peptide development experience, we will innovatively raise the efficiency of AI-based drug development," said Lee Slgi, CEO of D&D Pharmatech. "In particular, we will demonstrate our technological leadership in the global market in the recently spotlighted field of oral peptides, such as macrocyclic peptides."
Meanwhile, LG is accelerating the expansion of its bio-AI ecosystem based on open innovation, with Chairman Kwang-mo Koo emphasizing AI and biotechnology as future growth pillars.
In line with this, LG AI Research is also accelerating its bio-AI expansion. It is applying AI technology across the entire medical and pharmaceutical cycle through tools such as "Cancer Agentic AI," which supports everything from cancer tissue analysis to treatment strategy design, and "EXAONE Discovery," an AI new-substance development platform.







