Spin-off business accelerates transformation!

2021 is a bit difficult for GSK (GSK), and GSK will inevitably experience a period of pain on the way to accelerate the transformation

GSK's 2020 financial report actually showed a certain decline.

At the beginning of June of this year, PharmExec (American Pharmaceutical Manager Magazine) announced the TOP50 list of global pharmaceutical companies in 2021.

TOP10 global pharmaceutical companies (sales: US$100 million)

2021 has been more than half of the year.

1.

Speaking of GSK, I have to mention its current head-Emma Walmsley

The voice of doubt is inevitably indispensable on the road of transformation.

In Walmsley’s plan, after GSK is divided into two, the independent pharmaceutical sector will continue to grow in the next ten years.

As a traditional advantage business of GSK, the consumer healthcare business brought more than $13 billion in revenue to GSK last year.

From a single core to a twin star model, GSK has made great attempts for the development of the next ten years, and Walmsley and its partners are bound to usher in more challenges, and their bold words have been recorded.

2.

After announcing the ten-year plan, GSK sounded the Charge on the road to transformation one after another

Recently, GSK and Alector jointly announced that the two companies have reached a global strategic cooperation.
GSK spent US$2.
2 billion to obtain two potential "first-in-class" monoclonal antibody drugs in the clinical stage.
The joint development rights of AL001 and AL101, these two drugs will be used to develop the treatment of a number of neurodegenerative diseases including amyotrophic lateral sclerosis, Parkinson's disease and Alzheimer's disease
.

This move is also regarded as one of the most attractive genetic verification targets of GSK for the current new immunoneurology treatment methods
.
From the layout of GSK's immune track, it is not difficult to see that it attaches great importance to immune drugs.
In the past 2020, Nucala and Trelegy Ellipta have grown into blockbuster drugs for various adaptive diseases, and Nucala is the world's number one.
This anti-IL5 monoclonal antibody drug for the treatment of eosinophilic asthma has breakthrough significance in the expansion of multiple indications, and its sales in 2020 also reached 1.
284 billion US dollars
.
It is worth mentioning that Nucala's sales in the first quarter of this year also reached 352 million US dollars, an increase of 21% year-on-year, and it is expected to continue to grow in the future
.
Another drug, Trelegy Ellipta, is the first triple inhalation preparation approved for COPD and asthma at the same time.
Sales in 2020 exceeded the $1 billion mark for the first time, with a growth rate of 60%
.

In addition, Benlysta is the first systemic lupus erythematosus (SLE) new drug to be marketed in 50 years.
Sales in 2020 are also close to the blockbuster threshold, and Benlysta was approved for use by the FDA on December 17, 2020.
A serious complication of SLE, lupus nephritis, became the first drug approved by the FDA for the treatment of lupus nephritis.
Coupled with its entry into the National Medical Insurance List, Benlysta maintained a high double-digit growth in sales revenue in the first quarter of 2021 (18 %), Benlysta, with many auras, will undoubtedly become a competent player under the GSK track
.

It is not difficult to see that with Nucala, Trelegy Ellipta and Benlysta and other drugs taking the lead, plus GSK currently has more than 20 drugs entering Phase III clinical trials, the competitiveness of the first and substitute players cannot be underestimated, and immune drugs will become One of the pillars supporting GSK's business growth in the future
.

In terms of anti-tumor drugs, GSK has obviously accelerated its pace of deployment
.
Also last month, GSK introduced a TIGIT monoclonal antibody drug with up to 2 billion US dollars.
As a popular target after PD-1/PD-L1 and CTLA-4, TIGIT also attracted a large number of pharmaceutical giant companies.
However, no product of this target has been approved and released
.
Since only a PD-1 product was approved until this year, GSK, which was obviously thrown out of dozens of positions on the PD-1 track layout, is also targeting this rising star.
In the future, GSK will cooperate with Roche, Merck, BMS, etc.
The old opponent continued to fight each other
.

Previously, GSK acquired Tesaro at a sky-high price of US$5.
1 billion and obtained the development rights of Zejula (nirapali).
As the only PARP inhibitor that only needs to be taken once a day, Zejula's performance in 2020 will not disappoint.
In the first quarter of 2021, it achieved a growth of nearly 50% and achieved sales of $122 million in the first quarter of 2021, an increase of 10% year-on-year
.
Another drug, Blenrep, as the world’s first marketed BCMA (B cell maturation antigen) targeted therapy, achieved sales of $43 million in clinical end-line therapy applications in just 5 months, and its future prospects are also relatively good.
Optimistic
.

Although for various reasons, GSK only returned to the oncology drug track in 2016, in recent years, in terms of the layout of oncology drugs, GSK seems to be a little hesitant.
There is no real blockbuster drug that leads the world, and after successively introducing multiple products to expand the pipeline, GSK will have more confidence to challenge other competitors
.

3.
With a new generation of therapy, can GSK successfully challenge

Gilead's HIV dominance?

According to data, the global HIV drug market in 2020 will exceed 27 billion U.
S.
dollars.
In this vast market, Gilead is currently the well-deserved hegemon, occupying 62% of the global HIV market.
Geely The blockbuster product developed by Germany, Biktarvy, was even more popular.
It reached 7.
3 billion US dollars in sales in the second year of its launch, making it the king of HIV drugs
.
As a veteran HIV player, GSK has been steadily occupying the second place in recent years.
Despite the impact of Biktarvy, GSK’s HIV drug sales growth rate has declined, but the Triumeq and Tivicay developed by it were still handed over last year.
A good report card, sales reached 2.
98 billion and 1.
97 billion US dollars
.

Source: Sina Medicine

So in the future, will GSK have the opportunity to challenge Gilead’s dominance in the HIV field? Of course it is possible
.

One of the major reasons is that GSK successfully developed Cabenuva, which is currently the first and only long-acting drug that can completely treat HIV-1 infection, which can be administered once a month
.
In other words, Cabenuva has completed a historic breakthrough in the transformation of HIV patients from oral administration 365 days a year to once a month injection, that is, only 12 days of injection treatment a year
.
Although Gilead also has various arrangements for long-term HIV drug delivery, GSK has clearly mastered the initiative of a new generation of HIV therapy.
According to GSK’s forecast, Cabenuva’s sales in the next few years will reach 7 billion U.
S.
dollars.
Confidently stated that GSK is currently at least five years ahead of other competitors in the new generation of long-acting drug delivery
.

4.
With bad luck, can GSK catch up with the next train of COVID-19 vaccine?

As one of the world's largest vaccine manufacturers, GSK has been full of twists and turns in the development of the new crown vaccine
.

Although Sanofi and Sanofi jointly announced the development of the adjuvant recombinant protein new crown vaccine, unfortunately, the results of the vaccine in the phase 1/2 study last year were not very satisfactory.
The two parties cannot announce the delay of the trial plan until this year.
It was only in May that they jointly announced the restart and started the Phase III clinical trial
.
Misfortunes never come singly, and the cooperation between GSK and CureVac is even worse.
On June 17, CureVac announced that the results of the second interim analysis of its mRNA new coronavirus vaccine candidate 2b/3 study showed that the effectiveness was only 47%.
This is undoubtedly another issue.
Give GSK a blow
.

At a time when Pfizer and Moderna are earning a lot of money from the new crown vaccine, GSK currently does not even have the qualifications to drink soup, but there is no way to go.
GSK and Sanofi previously co-developed the adjuvant recombinant protein new crown The vaccine has gone well after the resumption of clinical trials and may be available before the end of the year
.
Bogillot, chairman of Sanofi France, also made an optimistic prediction.
Although it entered the field late, the vaccine may be very effective in France and overseas.
He also said: "With the emergence of mutant viruses, we must achieve Very high level of herd immunity
.
" In addition, the neutralizing antibody therapy VIR-7831 jointly developed by GSK and Vir Biotechnology has good clinical trial results in the treatment of early-stage COVID-19 patients.
The two companies have submitted an emergency use authorization application to the US FDA
.

Although the best time to get on the train has been missed, as the only company that develops drugs and vaccines for the three major global diseases (malaria, AIDS and tuberculosis) identified by the WHO, GSK does not have to worry too much about the commercialization and production of vaccines.
As an important pawn on the road of future transformation, how Walmsley led her team to catch up and play carefully on these three tracks, this question will also trouble her for some time
.

5.
Summary

Whether it is questioned or not, the transformation of GSK has indeed officially kicked off.
In the ancient East, there is a saying: Change is easy to be poor, change is common, and general rules apply to GSK at this moment for a long time
.
In the dilemma of continued decline in business, such a change is indeed needed to inject new vitality into GSK
.
Although there is no result to prove that "changes can be achieved" in a short period of time, it is worth encouraging that Walmsley is leading GSK to try to get out of the fog.
The ten-year plan is a long one.
Perhaps Walmsley will have been fired a year later.
Perhaps in three years, Walmsley has led GSK to complete the transformation.
.
.
No one can predict the future, we will wait and see
.

Reference materials:

[1]https:// [2]https:// iDv3FF4L3p7uMvGn4qUHSus9QA&utm_content=138567640&utm_source=hs_email

[3]https:// [4]https://