China’s Innovent Biologics and U.S. pharma giant Pfizer have agreed to a global licensing and collaboration deal worth up to $10.5 billion to develop 12 early-stage cancer medicines, as global drug makers race to tap China’s booming biotech pipeline.
The deal also includes a $650 million upfront payment to Innovent and up to $9.85 billion in potential development, regulatory and commercial milestone payments.
The deal comes amid a broader boom in China biotech licensing, as global drugmakers have been stepping up their search for experimental medicines developed in the country.
The value of such deals in the greater China region rose nearly tenfold from 2021 to an unprecedented $137.7 billion last year, according to data provider Pharmcube.
Analysts predicted that such licensing deals would surge to a fresh record this year.
The partnership spans a portfolio of antibody-drug conjugates (ADCs) with novel differentiated payloads and multi-specific antibodies, comprising eight Innovent-originated early-stage assets and four Pfizer-proposed discovery programs.
Under the terms of the agreement, Innovent will lead development of the 12 programs through Phase 1 clinical trials before Pfizer takes on global development.
The deal is structured across three tiers. Four programs will be co-developed and co-commercialised, with profits shared in the United States and Europe, while Innovent retains rights in Greater China.
For another four programs, Pfizer receives an exclusive license outside Greater China, while it holds an exclusive global license and bears all global development costs for the remaining four.
Innovent, together with its wholly owned units Innovent Biologics (Suzhou) and Fortvita Biologics (USA), entered into the deal with Pfizer, the firm said in an exchange filing.
The deal comes as Pfizer has been aggressively building out its oncology pipeline through partnerships with Chinese biotechs.
Earlier in May 2025, Pfizer announced a licensing deal with Shenyang-based 3SBio 1530.HK, wagering billions of dollars on a new kind of cancer immunotherapy.
Reuters
