Kangzhe Pharmaceutical Co., Ltd. won the distribution license of AstraZeneca hypertension drug Boying in China for us $310 million

"/ > kangzhe Pharmaceutical (00867-hk) announcement, and AstraZeneca AB signed an exclusive license agreement, and the company was granted the exclusive right to commercialize the licensed product of Plendil (felodipine sustained release tablets) in China, with a total license fee of USD 310 million The initial term begins on the effective date and continues until December 31, the 20th anniversary of the effective date When the initial term expires, the exclusive license agreement is automatically extended for 5 years in accordance with the terms of the exclusive license agreement Boyding is the original product of AstraZeneca group, which is used for hypertension and stable angina According to AstraZeneca data, the sales of this product in the Chinese market in 2015 was about 1.2 billion yuan (6551, 0000, 0.00%) The company believes that the licensed products can strengthen the group's cardio cerebrovascular product line and connect with the resources of the existing cardio cerebrovascular product line Under the agreement, kangzhe pharmaceutical will pay AstraZeneca a one-time license fee of $310 million AstraZeneca is responsible for the production and supply of kangzhe pharmaceutical In the future, it can obtain a long-term sales share based on the sales revenue of Plendil AstraZeneca will retain plendil's global rights outside China The deal does not involve any AstraZeneca employees or factories Mark Mallon, global executive vice president of AstraZeneca, said: "this cooperation is in line with AstraZeneca's strategy of seeking local partners in China, which is conducive to maximizing the value of our products in China, and also helps more patients use drugs with clear functions In this way, AstraZeneca can focus more on innovative drug development in key areas " "We are very pleased to conclude this cooperation agreement with AstraZeneca," said Lin Gang, CEO of kangzhe pharmaceutical Pledil is a mature brand With our sales network and marketing experience, we believe that pledil still has great opportunities in China Kangzhe Pharmaceutical Co., Ltd and its holding company Tibet Pharmaceutical Co., Ltd have also entered into another cooperation agreement with AstraZeneca to obtain the global commercial rights of Imdur (isosorbide mononitrate sustained release tablets, imdo) in markets outside the United States with a license fee of US $190 million Imdur is a drug for the prevention of angina, with sales outside the US of $57 million in 2015 In short, kangzhe pharmaceutical purchased two products of AstraZeneca, Boying and imdo, with a total price of more than 500 million US dollars (about 3.3 billion RMB) Boying transferred the long-term license of exclusive sales right in China, and imdo sold global assets other than the U.S market Lin Gang, President of kangzhe pharmaceutical and Pascal soriot, President of AstraZeneca, both confirmed the news This is the largest and most beautiful transaction so far for Chinese pharmaceutical companies to purchase the original research drug sales rights of multinational pharmaceutical companies in China, and it is also another big transaction for kangzhe pharmaceutical after purchasing the assets of Novartis and bromoyinting in China market The important message of the deal to the industry is that the Chinese market of "Boying", a large variety of cardiovascular and cerebrovascular products, has since returned to kangzhe, and the overseas acquisition of Chinese pharmaceutical companies has become a trend As a well-known first-line classic hypertension drug in the world, the global market performance of boyiding is not the same as that of luohuoxi and Baixin, while the market volume in China is quite different from these two It is not hard to see that, as kangzhe takes over, its channel advantages and market promotion ability will be fully reflected In the foreseeable future, the access of the vast majority of grassroots patients in China to use the classic original research drug boyiden will be greatly improved So, how to evaluate this big deal? What is the subsequent impact? What are the reasons for both sides to make such a decision? Exclusive analysis of e drug manager What was the transfer of $310 million from pollidin? Boyding (felodipine sustained release tablets) is the original product of AstraZeneca, which is used for hypertension and stable angina pectoris It has been on the market for many years in China and belongs to the class B product of national medical insurance In 2015, the sales of the product in the Chinese market was about 1.2 billion yuan According to the transfer agreement, kangzhe agrees to reach the annual sales target agreed in advance for the Chinese market within the first three years of the term of the agreement; if such sales target is not reached, AstraZeneca has the right to terminate the agreement The initial term of this Agreement shall continue until December 31, the 20th anniversary of the effective date When the initial term expires, the exclusive license agreement is automatically extended for 5 years "Kangzhe will start the handover of Boying's China market as soon as possible This is one of the most famous cardio cerebrovascular drugs in the Chinese market We have conducted in-depth research on this sales market and are very confident to achieve the sales target of the first three years " Zhang Lingyan, director of strategic development and investment of kangzhe Pharmaceutical Co., Ltd., said, "the reasons for kangzhe's heavy purchase are as follows: first, a variety with an annual sales volume of more than one billion in the Chinese market is large enough to penetrate into the existing hospital channels deeply, and its gold content is sufficient; second, from the perspective of product line, Boying and the city we are now selling in , 50% of the hospital channels are overlapped, which can complement the existing cardio cerebral vascular line market and quickly integrate into our existing product line, so that the volume of this product line exceeds the annual sales volume of 2 billion yuan; thirdly, with the support of strong varieties, our market team can expand the army, make a reasonable layout, seize the opportunity and start a new competition situation We have started a new round of recruitment of medical representatives and hope to use this opportunity to cultivate more managers " Kangzhe Pharmaceutical Co., Ltd had an overall sales volume of 2.945 billion yuan and a net profit of 1.043 billion yuan in 2014 The successful introduction of many varieties was its magic weapon in recent years Its subsidiaries include nordicon of Tibet Pharmaceutical (the company is its first largest shareholder), tanshinone of hili Pharmaceutical (52% of the company's shares), lanmeishu and bromocriptine of Novartis, mevik of Nuojin, genericin and Hirudoid of Dachang Huajia international Except Novartis products, other products are exclusive, and other products except for Mervyn and Hirudoid are all national medical insurance The products are applied to cardio cerebral vascular, dermatology, digestive and other departments, all of which are products of over 100 million yuan In addition, we also introduced the reserve product succinylgelatin injection, purchased the Stulln China market and cooperated with the manufacturers to expand the production 2 take the ship of imdo to sea Different from boyiding, imdo (isosorbide mononitrate sustained release tablet) is a mature product originally developed by AZ It is a long-term nitrate oral drug for the treatment of coronary heart disease and the prevention of angina pectoris According to the data provided by the seller AstraZeneca, the average gross profit margin of imdo from 2013 to 2015 was 82.37%, among which, the global market sales excluding the United States in 2015 was $57 million Kangzhe and AZ trade in different ways This $190 million consideration transfer is not the sales right in China, but the global assets of imdo except the United States, including imdo's trademark, market access certificate, technical information, commercial medical information, etc., that is, after that, the whole production, sales and promotion of imdo will be taken over by kangzhe Imdo was listed in Europe in 1985 and sold in more than 40 countries around the world If this distribution channel can be successfully taken over, it will be more significant for Tibet pharmaceutical industry under kangzhe Through this channel, domestic products meeting overseas quality standards can move towards international development Everest, an overseas subsidiary of Tibet pharmaceutical, is the main body of kangzhe's offer Future, on March 1, Tibet pharmaceutical industry quickly released the fixed increase plan, which shows that the company plans to issue 42601500 shares to kangzhe pharmaceutical, Guojin Hong Kong, geweidong, Qu Xiangjun, Zhang Yong and chaos daoran at a price of 35.21 yuan per share, raising no more than 1.5 billion yuan This fixed increase is used for overseas acquisition of imdo and replenishment of working capital Why sell? The first is to optimize the product structure, and the second is to reduce the performance pressure As a British pharmaceutical giant, AstraZeneca's two product licensing transactions are decisions made at a global level In order to stimulate the declining revenue, in recent years, AstraZeneca global began to sell a series of non core drug sales authorization, using these transactions to obtain license fee income Mark Mallon, executive vice president of AstraZeneca international markets, said: "this business cooperation with local partners will help us realize the strategy of maximizing drug value in China, the second largest market of AstraZeneca in the world This agreement enables us not only to provide more patients with mature drugs and ensure long-term benefits, but also to concentrate resources and realize the commercialization of innovative drugs in the product pipeline of our main treatment areas " The copyright of this article belongs to e-medicine Facebook (www.y-lp Com).