A large number of pharmaceutical companies want to take advantage of this model to achieve "curve overtaking" on the innovative drug track

License-in is a popular equity trading model in the domestic biomedical industry in recent years, and the reason why it is sought after by pharmaceutical companies is mainly because on the high-risk and high-input innovative drug track, this is a shortcut
with less investment, fast effect, and even "curve overtaking".

It is reported that recently, Northeast Pharmaceutical announced that it has signed the "MAb11-22.
1 Antibody Project Transfer, Cooperative Development and Technical Service Agreement" with MedAbome Company in the
United States.

Under the terms of the agreement, MedAbome transferred MAb11-22.
1 to Northeast Pharmaceuticals and based on the antibody, the two parties conducted cooperative development
of ADC drugs and CAR-T cell therapy products.

MedAbome is responsible for filing clinical trial (IND) certificates and new drug launch (NDA) certificates outside the United States, Canada and Mexico, and helping and guiding Northeast Pharmaceutical to design and build ADC drug platforms and CAR-T cell therapy technology platforms, including research and development, pilot, production and quality control platforms
.

Northeast Pharmaceutical will pay MedAbome the fees under the agreement according to the progress of the project, including but not limited to down payment, milestone payment, sales commission, etc
.

According to the data, MAb11-22.
1 is a monoclonal antibody
developed by MedAbome that selectively recognizes malignant tumor cells without reacting with normal peripheral blood cells and major organ tissues.

The application of this antibody on antibody-coupled drugs and CAR-T is currently in the preclinical development stage
.

The industry said that License-in is a shortcut with little investment, fast results, and even "overtaking in curves"
.

The leverage effect brought by "buying, buying and buying" is very obvious, and at the same time, it can also make up for the shortcomings of the company's product pipeline and solve the problem
of insufficient innovation and commercialization capabilities.

At present, many emerging domestic pharmaceutical companies have become the main model
of "cooperative research and development + licensing introduction".

For example, data show that in the first half of 2022, there were 57 innovative drug License-in transactions
in China.

Among them, 28 transactions were transferred by Chinese companies, 15 by enterprises in the United States, as well as in Sweden, South Korea, the United Kingdom and other places
.

Among them, the largest transaction volume of License-in in the first half of the year is the cooperation agreement signed between Huadong Pharmaceutical subsidiary Sino-Us Huadong and Kiniksa, with a total amount of more than US$600 million, that is, China and China and China will receive the development, registration and commercialization rights
of the latter two cardiovascular disease drugs Arcalyst and Mavrilimumab in 24 Asia-Pacific countries and regions.

In March, Unipurea entered into an approximately $225 million collaboration with Bavarian Nordic to develop and commercialize
the vaccine in China, South Korea and some Southeast Asian countries.

Howson Pharmaceuticals reached a cooperation agreement with nikang Therapeutics, an American biotechnology company, in which Howson Pharmaceuticals introduced a Chinese interest in the HIF-2α inhibitor NKT2152 developed by the latter, and Howson Pharmaceuticals paid an advance payment of US$15 million, a milestone amount of US$203 million, and a certain proportion of sales share
.

License-in model has become one of the most important trends in the development of biomedical innovative pharmaceutical companies, many companies have more layouts in the introduction of development, License-in has become one
of the ways for pharmaceutical companies to build product lines.

For example, in addition to the above companies, Genting Xinyao, Conten Haonuo, Fuhong Henlin, Kelingyuan, aymi Medical, Fosun Pharma, Shufang Pharma, Shanghai Pharmaceutical, Chia Tai Tianqing, Watson Biological, China Resources Shuanghe, Kexing Pharmaceutical, etc.
all achieved a large amount of License-in transactions
in the first half of this year.

The industry said that with the blessing of capital, the License-in model can help innovative pharmaceutical companies form a set of "mature" combinations of capital + contacts + project resources (License-in) + pharmaceutical companies, and in recent years, in the License-in model, there are also some companies that have performed prominently
.

For example, Zaiding Pharmaceutical uses "investment logic" for research and development, and feeds back the profits brought by "license-in" to independent new drug research and development, so as to achieve a virtuous circle and maximize economic benefits; BeiGene has obtained exclusive licenses from Mirati Therapeutics Company sittravatinib to develop, produce and commercialize in Asia (excluding Japan), Australia and New Zealand to expand its product line.
Disclaimer: In no event shall the information or opinions expressed herein constitute investment advice
to any person.