Haisco Pharmaceutical Group Co., Ltd. announced a licensing and research collaboration agreement with Eli Lilly and Company to develop innovative medicines across multiple therapeutic areas, a deal that could be worth up to $3.054B including milestones and upfront payments. Under the agreement, Haisco will lead discovery and identification of up to five innovative target programs, while Lilly will take responsibility for IND-enabling studies, clinical development, and commercialization.
Lilly will obtain exclusive worldwide rights to certain programs and exclusive rights outside mainland China, Hong Kong, Macau, and Taiwan (the “Haisco Territory”) for other programs, with Haisco retaining rights within the Haisco Territory for those latter assets. Haisco will be eligible to receive up to $87 million in upfront and near-term payments and up to $2.967 billion in downstream milestones, along with single-digit tiered royalties on future product sales.
“This collaboration is highly aligned with our international development strategy and is expected to generate sustainable value and long-term returns,” said Dr. Pangke Yan, chief executive officer of Haisco. He said that by partnering with a global biopharmaceutical leader like Lilly, Haisco aims to accelerate global development of innovative therapies and deliver high-quality treatment options to patients worldwide.
The pact marks the first licensing and research collaboration between Haisco and Lilly. The companies said they plan to leverage their respective strengths in innovative drug development to advance new therapeutics globally and speed their progression from discovery toward the clinic and market.
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