Deals and Financings

Hanmi Pharma (KSE: 128940) of Korea out-licensed global rights for three long-acting diabetes drugs to Sanofi (NYSE: SNY) in a deal worth $4.2 billion (see story). Hanmi will receive $435 million upfront and up to $3.8 billion in milestones plus royalties on sales. Hanmi is on a roll. Earlier this year, the company out-licensed a novel lung cancer therapeutic to Boehringer Ingelheim for $730 million and sold the rights for an autoimmune drug to Lilly (NYSE: LLY) for $690 million. Hanmi retained the right to co-promote the three long-acting diabetes drugs with Sanofi in Korea and China. 

Sinocare (SHZ: 300298), a Changsha company that makes blood sugar sensing devices, will pay $273 million to acquire Nipro Diagnostics of Fort Lauderdale, Florida (see story). Nipro makes glucose monitoring products for the US market and is a division of Nipro Industries, a Japanese medical equipment company. In the US, Nipro distributes its products under the True brand and also co-brands with retail outlets. Nipro Industries will continue to purchase diabetes products for distribution in some markets. 

Roche (SIX: RO, ROG) will invest $136 million to build a Roche Pharma Innovation Center in Shanghai's Zhangjiang Hi-Tech Park (see story). In 2004, Roche built its first R&D center in Shanghai. The new Innovation Center will be tasked with facilitating collaboration between Roche and local research entities. With an area of 14,000 square meters, the center will have space for 220 modular work areas. Roche plans to make Shanghai its third major R&D center, along with Basel and San Francisco. 

Bloomage BioTechnology (HK: 963), a China maker of aesthetic drug products, announced an $85 million investment from GIC, Singapore's sovereign fund (see story). Bloomage makes hyaluronic acid API and finished products. Earlier this year, the company set up a JV with Korea's Medytox (KS: 086900) to develop Medytox's botulinum toxin business in China. Bloomage said the GIC investment will help build its aesthetic medical business through organic growth and acquisitions. 

ACEA Biosciences of San Diego and Hangzhou closed a $30 million venture capital round with participation by Lilly Asia Ventures and Qiming Venture Partners (see story). Founded in 2002, ACEA develops scientific instruments and also is engaged in drug discovery with two drugs in clinical trials. The company's proprietary cell analysis technologies, which examine the effects of drugs on target cells in life science research, are used around the world. ACEA operates a manufacturing facility in Hangzhou. 

Tianjin CanSino Biotechnology. located in TEDA, Tianjin, raised $30 million in venture capital to further its vaccine development activities (see story). The funding was led by Qiming Venture Partners and Lilly Asia Ventures. Two years ago, Lilly was the lead investor in CanSino's original $10 million fundraising. The company announced the funding at its official ground breaking ceremony for a new vaccine manufacturing facility in TEDA. 

Tarrex Biopharma, a drug discovery startup based in Xiamen, China, has purchased a 33% stake in Aranda Pharma Ltd. of Finland, and the two companies will co-develop Aranda’s androgen receptor antagonist as a treatment for Castration Resistant Prostate Cancer (CRPC) (see story). Aranda’s AR antagonist has demonstrated efficacy in prostate cancer models that are resistant to current treatments. The amount of Tarrex's investment in Aranda was not disclosed. 

Company News

iCarbonX, a new China company that uses big data to improve health, was unveiled last week in Shenzhen by its co-founder, Dr. Jun Wang, former CEO of Beijing Genomic Institute (BGI) (see story). The company will combine big data, omics (genomics, proteomics, metabolomics, microbiomics, etc.), life style information and artificial intelligence to aid novel drug research and help people make the right choices for their lives. After 17 years at BGI, Dr. Wang is a high-profile figure in international health research, and he has assembled a blue ribbon group of co-partners for his newest scientific venture. 

Tsinghua University has started a Medical Big Data Center at its Center for Statistical Science (see story). The center was established in response to the call of the State Council of China for big data research. Earlier this week, Dr. Jun Wang, formerly of BGI, announced another big data healthcare-focused company, iCarbonX. Although there will be overlap, iCarbonX seems to emphasize biologic research while the Tsinghua Center is more concerned with clinical decision making. 

JHL Biotech, a Taiwan-China biopharma, built a biologics CMO facility in Wuhan in just 11 days, using modular components fabricated in Germany (see story). General Electric constructed the components, which it calls a KUBio™ modular factory. JHL already has a biosimilars manufacturing facility in Taiwan, but chose the GE kit for its Wuhan location because the company believes a prefabricated plant will speed up CFDA and international audits of the facility.  

Trials and Approvals

Akers Biosciences (NSDQ: AKER; AIM:AKR.L) of the US received CFDA approval of its diagnostic test for allergic reactions to heparin, the blood thinner (see story). Akers' PIFA Heparin/PF4 Rapid Assay (and the whole blood PIFA PLUSS PF4 version) test for PF4 antibodies, which are associated with heparin-induced thrombocytopenia (HIT). The Akers diagnostic is the first test for the condition approved in China. NovoTek of Beijing will be in charge of China distribution. 

Disclosure: ChinaBio® has a business relationship with Roche.