Recently, Federal Biotech, a wholly-owned subsidiary of Federal Pharmaceuticals (03933. HK), reached an exclusive licensing agreement with multinational pharmaceutical giant Novo Nordisk for up to $2 billion (approximately RMB 14.5 billion, calculated at the latest exchange rate of 1 USD ≈ 7.2579 RMB).

According to the agreement, Novo Nordisk will obtain the exclusive right to develop, produce and commercialize a weight loss drug UBT251 in the world outside Chinese Mainland, Hong Kong, Macao and Taiwan. Union Bio will receive a down payment of $200 million, a potential milestone payment of up to $1.8 billion, and a graded royalty based on net sales in Chinese Mainland, Hong Kong, Macao and Taiwan.

UBT251 is a GLP-1 (glucagon like peptide-1)/GIP (glucose dependent insulinotropic polypeptide)/GCG (glucagon) triple target receptor agonist currently in early clinical development and has shown effective activity against all three receptors in preclinical settings.

At present, UBT251 has been approved in China to carry out clinical trials for adult type 2 diabetes, overweight or obesity, metabolism related fatty liver disease (MAFLD) and chronic kidney disease (CKD), and in the United States to carry out clinical trials for adult type 2 diabetes, overweight or obesity, and chronic kidney disease (CKD). Recently, Union Biology launched the phase II trial of UBT251 in overweight or obese people in Chinese Mainland.
Preclinical animal research data shows that UBT251 has significant hypoglycemic, lipid-lowering, and weight loss effects, and is superior to marketed GLP-1 receptor single target drugs and GLP-1/GIP dual target drugs. In the Phase 1b clinical trial, the highest dose group had an average weight loss of 15.1% compared to baseline at the end of the trial, while the placebo group had an average weight increase of 1.5% compared to baseline.

Novo Nordisk's GLP -1 drug layout covers different dosage forms and treatment fields, from diabetes treatment to weight management. It not only has the world's first oral GLP-1RA drug Novohexidine ® (Simeglutide tablets), as well as the world's first and only GLP-1RA weekly formulation for long-term weight management, Novowell ® (Simeglutide Injection), whose GLP-1 drug Simeglutide has sales of $29.3 billion in 2024. By acquiring the global development, production, and sales rights of UBT251, Novo Nordisk further expands its presence in the GLP-1 drug field.

In addition to Federal Biotech, there are also companies in China that have deployed GLP-1 drugs, such as Hengrui Pharmaceutical, Shiyao Group, Xinda Biotechnology, Huadong Pharmaceutical, Yinnuo Pharmaceutical, Renhui Biotechnology, Chen'an Biotechnology, China Biopharmaceutical, Dongyangguang Pharmaceutical, Paige Biotechnology, Shuanglu Pharmaceutical, Wanbang Pharmaceutical, and Ganli Pharmaceutical.

Among them, those that have achieved going abroad include:
 Hengrui Pharmaceutical: In May 2024, Hengrui Pharmaceutical will license the exclusive rights to develop, produce, and commercialize its GLP-1 product portfolio HRS-7535, HRS9531, and HRS-4729 with independent intellectual property rights worldwide, except for Greater China, to Hercules Corporation in the United States for a fee, with a total external authorization price of over 6 billion US dollars.
 Hansen Pharmaceuticals: On December 18, 2024, Hansen Pharmaceuticals signed an agreement with Merck to grant Merck the exclusive global license to develop, produce, and commercialize HS-10535 (a pre clinical oral small molecule GLP-1 receptor agonist), with a total transaction value exceeding $2 billion.
 In May 2024, Sinovac Biotech authorized the Korean product rights of Ecnoglutide to Hk Inno in Korea N. On January 10, 2025, Xianweida Biotechnology and Verdiva reached a global development and commercialization license and cooperation agreement, covering multiple innovative therapy product combinations such as oral Ecnoglutide Oral (XW004). The down payment for the transaction was nearly $70 million, and Xianweida Biotechnology also has the right to receive up to $2.4 billion in potential milestone payments and sales commissions.
 Chengyi Biology: In November 2023, AstraZeneca and Chengyi Biology reached an exclusive agreement to obtain the small molecule GLP -1 receptor agonist ECC5004 (i.e. AZD5004) with a potential total of 1.825 billion dollars for the treatment of obesity, type 2 diabetes and other indications.

Source: https://pharm.jgvogel.cn/c1499134.shtml