Merck or Hansoh Pharma financial reports or press releases

Merck Licenses HS-10535, a Preclinical Oral GLP-1 Receptor Agonist from Hansoh Pharma in Deal Potentially Worth $2 Billion

Dec 18, 2024, 12:10 PM

Merck & Co., Inc. has entered into an exclusive global license agreement with Hansoh Pharma for HS-10535, an investigational preclinical oral small molecule GLP-1 receptor agonist. Under the terms of the agreement, Merck will pay Hansoh an upfront payment of $112 million, with the potential for up to $1.9 billion in milestone payments related to development, regulatory approval, and commercialization, as well as royalties on sales. The agreement grants Merck the rights to develop, manufacture, and commercialize HS-10535 globally, while Hansoh may co-promote or solely commercialize the drug in China under certain conditions. This move is part of Merck's strategy to expand its presence in the obesity treatment market, which is expected to grow significantly in the coming years. Dr. Dean Y. Li, president of Merck Research Laboratories, stated that the agreement aims to evaluate HS-10535 for its potential to provide additional cardiometabolic benefits beyond weight reduction. Ms. Eliza Sun, Executive Director of the Board at Hansoh Pharma, expressed optimism about the collaboration, citing Merck's leadership in cardiometabolic diseases.