Fosun Pharma’s subsidiary, Fosun Pharma Industrial, has signed a global License Agreement with Expedition Therapeutics Inc., granting the US-based biotechnology company the rights to develop, manufacture, and commercialise its investigational respiratory drug XH-S004 in all regions worldwide, excluding the Chinese Mainland, Hong Kong SAR, and Macau SAR.  

Fosun Pharma will retain the rights to develop, manufacture, and commercialise the drug in the Chinese Mainland, Hong Kong SAR, and Macau SAR.  

Under the agreement, Expedition will pay Fosun Pharma up to USD 120 million, including upfront payment and development milestone payments. In addition, based on the annual net sales of XH-004 in the licensed territories, Expedition will pay up to USD525 million in sales milestone payments as stipulated in the contract. 

Independently developed by Fosun Pharma, XH-S004 is a small molecule, orally administered dipeptidyl peptidase 1 (DPP-1) inhibitor, designed for the treatment of respiratory system diseases. It reduces inflammatory responses and blocks the infection cycle and airway structural damage by inhibiting DPP-1 and the neutrophil serine proteases activated by it. As of now, XH-S004 is in Phase II clinical trials in China for the treatment of non-cystic fibrosis bronchiectasis and in Phase 1b clinical trials for the treatment of chronic obstructive pulmonary disease (COPD). Currently, no small molecule orally administered inhibitors with the same mechanism of action have been approved for marketing worldwide.

Chen Yuqing, Chairman of Fosun Pharma said, “By working together with Expedition, the professional teams and rich industry experience of both parties will provide strong support for the global development and commercialisation of XH-S004, further expanding the accessibility of this product and enabling global patients to benefit from this innovative therapy as soon as possible.”

Yi Larson, Chairman and CEO of Expedition, expressed enthusiasm about the collaboration with Fosun Pharma, a leading pharmaceutical company in China.

“XH-S004 is an exciting compound that targets neutrophilic inflammation, an important underlying driver of a number of chronic respiratory diseases. We look forward to partnering with Fosun Pharma in the development of XH-S004 for COPD and other neutrophilic inflammatory diseases to address the significant unmet medical need.”  

Shanghai Fosun Pharmaceutical (Group) Co., Ltd. (Fosun Pharma) is a leading innovation-driven global healthcare company operating in the fields of pharmaceuticals, medical devices and diagnostics, and healthcare services. Through its strategic alliance with Sinopharm Group Co.,  Fosun Pharma has further enhanced its capabilities in pharmaceutical commerce. Over the past 30 years since its establishment, Fosun Pharma has maintained deep roots in China while strategically expanding its global presence, with core business operations now spanning major overseas markets including the United States, Europe, Africa, India, and Southeast Asia.

Expedition Therapeutics is a biotechnology company specialising in the research and development of innovative therapies for autoimmune diseases. Its current investors include several well-known investment institutions in the United States.