GSK pays $500M for rights to drugs from Chinese firm Hengrui

Andrew Joseph covers health, medicine, and the biopharma industry in Europe. You can reach Andrew on Signal at drewqjoseph.45.

LONDON — GSK said Monday it would pay $500 million upfront for rights to an experimental COPD drug from Jiangsu Hengrui Pharmaceuticals, the latest example of a pharma company turning to a Chinese firm to build out its pipeline. 

The deal also includes licensing options for 11 other Hengrui medicines, including those in development in immunology and oncology. If all programs are optioned and all milestones are met, the pact could be worth up to $12 billion. 

The centerpiece of the agreement is HRS-9821, now in clinical studies for COPD. GSK, which recently saw its drug Nucala win approval for COPD in the U.S., said picking up HS-9821 will fuel its “ambition to treat patients across the widest spectrum of COPD,” including those who are not helped by existing medicines.