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    Home > Medical News > Latest Medical News > Innovative pharmaceutical companies IPOs frequently "break", how to realize the commercial value?

    Innovative pharmaceutical companies IPOs frequently "break", how to realize the commercial value?

    • Last Update: 2021-12-26
    • Source: Internet
    • Author: User
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     Since December, IPOs of innovative pharmaceutical companies have frequently "broken".
    For example, on December 10, three pharmaceutical companies, Kailaiying, Beihai Kangcheng, and Dizhe Pharmaceutical, landed in the capital market for IPOs on the same day, but these three pharmaceutical companies broke their shares at the opening of the market
    .
    Subsequently, on December 15th, BeiGene successfully landed on the Science and Technology Innovation Board and became a biopharmaceutical company that started the "US stocks + H shares + A shares" listing model.
    However, BeiGene did not usher in a good start on the day of its IPO but broke.

    .
    According to the industry, as the capital market opens the door to unprofitable biopharmaceutical companies, more and more innovative pharmaceutical companies are flocking to the capital market.
    However, in the face of investors, pharmaceutical companies also need to think about how to fulfill their value promises through commercialization.

    .
    It is understood that in order to promote the development of innovative drugs and accelerate the transformation and upgrading of enterprises, many pharmaceutical companies have started the License-in and License-out modes
    .
    According to relevant data, as of the end of November 2021, there have been 157 biomedical transactions
    .
    Among them, there are 98 license-in transactions and 23 license-out transactions
    .
    From the perspective of license-in, the number of license-in transactions with specific cooperation amounts announced this year, 32 with more than US$100 million, and 11 with more than US$300 million
    .
    Among them, Zai Lab cooperated with MacroGenics to develop four bispecific molecules with a total amount of US$1.
    425 billion, and reached a cooperation with Blueprint to obtain the rights and interests of two new-generation EGFR inhibitors in Greater China, with a total amount of nearly US$600 million; John Mori Pharmaceutical Co.
    , Ltd.
    and Silence Therapeutics have cooperated to develop siRNA targeting three targets, with a total cooperation amount of US$1.
    3 billion
    .
    There are also many authorized transactions between local companies, many of which have relatively high transaction amounts.
    For example, Tianjing Biotech and Jichuan Pharmaceutical reached a deal of nearly 2 billion yuan; Hengrui Pharmaceuticals and CStone Pharmaceuticals targeted anti-CTLA-4 monoclonal antibodies.
    CS1002 negotiated a $ 200 million deal, reached 1.
    3 billion yuan transactions with Wanchun medicine for Pune Brin
    .
    In addition, companies with product R&D capabilities but lack of independent commercialization capabilities have also begun to continue to choose License-out
    .
    Since the beginning of this year, the license-outs of companies such as Baekje, Cinda, and Jacques have all brought considerable milestone benefits
    .
    Among them, Rongchang Biotechnology and Seattle Genes reached a license agreement for the development and commercialization of its new ADC drug Vidicutuzumab, setting a record with a total transaction volume of US$2.
    6 billion; Cinda's anticancer drug tislelizumab globally Commercializing together with Novartis, the two parties also reached an authorized cooperation transaction with a down payment of US$650 million and a total of US$2.
    2 billion
    .
    BeiGene authorized Novartis's PD-1 inhibitor tislelizumab to develop, produce and commercialize rights in the United States, Canada and other countries, with a total cooperation amount of US$2.
    2 billion
    .
    Regal Pharmaceuticals and Eli Lilly have reached a partnership for the licensing of GLP-1R targets, with a total transaction value of US$1.
    55 billion
    .
    It is understood that in recent years, license-out has been regarded as a manifestation of innovative drugs going abroad and being recognized internationally.
    In particular, cooperation with major multinational pharmaceutical companies has attracted more attention in the industry
    .
    Analysts said that China's innovative drug industry has just started, and there are bound to be weak links.
    At present, the adoption of License-in or License-out may be an important step in commercialization
    .
    In addition, some analysts also said that for any innovative pharmaceutical company, in order to achieve commercial success in the market, three elements are indispensable, namely, product pipelines, commercialization capabilities, and capacity building
    .
    This article is an English version of an article which is originally in the Chinese language on echemi.com and is provided for information purposes only. This website makes no representation or warranty of any kind, either expressed or implied, as to the accuracy, completeness ownership or reliability of the article or any translations thereof. If you have any concerns or complaints relating to the article, please send an email, providing a detailed description of the concern or complaint, to service@echemi.com. A staff member will contact you within 5 working days. Once verified, infringing content will be removed immediately.

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