GSK and China’s Hengrui Pharma have entered into agreements to develop up to 12 innovative medicines across Respiratory, Immunology & Inflammation and Oncology, with GSK paying $500 million in upfront fees.
Why it matters: The collaboration marks a significant investment in the future of pharmaceutical advancements, leveraging GSK’s global presence and research capabilities and Hengrui’s expertise and growing influence in the Chinese pharmaceutical market.
The details:
- The agreements include an exclusive worldwide license for a potential best-in-class PDE3/4 inhibitor (HRS-9821) currently in clinical development for the treatment of chronic obstructive pulmonary disease (COPD).
- HRS-9821 aims to treat patients across a wide spectrum of COPD, including those who experience continued dyspnoea or are unlikely to receive inhaled corticosteroids or biologics.
- The agreements also include a collaborative effort to generate up to 11 additional programmes beyond HRS-9821, with Hengrui leading the development up to the completion of phase I trials.
- GSK will have the exclusive option to further develop and commercialize each programme worldwide at the end of phase I or earlier at GSK’s election.
The potential total value of future success-based development, regulatory, and commercial milestone payments to Hengrui is approximately $12 billion if all programmes are optioned and all milestones are achieved, in addition to tiered royalties on global product net sales.
What they’re saying:
- “This strategic collaboration with GSK marks yet another significant milestone in Hengrui’s globalisation journey. GSK brings additional R&D expertise, a robust global clinical network, and broad regulatory capabilities that will accelerate our PDE3/4 inhibitor as well as an array of other innovative therapy programs to overseas markets, potentially delivering breakthrough treatments to patients globally,” said Frank Jiang, Executive Vice President and Chief Strategy Officer of Hengrui Pharma.
- “We’re delighted to announce these agreements with Hengrui Pharma, which complement our already-extensive pipeline. This deal reflects our strategic investment in programmes that address validated targets, increasing the likelihood of success, and with the option to advance those assets with the greatest potential for patient impact,” added Tony Wood, GSK’s Chief Scientific Officer.
What’s next: The license to HRS-9821 is subject to customary conditions, including applicable regulatory agency clearances under the Hart-Scott-Rodino Act in the US. The collaboration represents a significant step for both companies in bringing new treatments to market, leveraging GSK’s global reach and Hengrui’s innovative drug development capabilities.
