Sweet Treatment
Hanmi Pharmaceutical has signed a contract to export a diabetes treatment technology for 5 trillion won (US$4.4 billion), the highest-ever amount in the history of the Korean pharmaceutical industry. Considering that the size of the Korean pharmaceutical industry is valued at 17 trillion won (US$14.9 billion), it is said that this mega deal will advance the Korean pharmaceutical industry by one notch.
Hanmi Pharmaceutical announced on Nov. 5 that the company struck a deal to export technologies on three new materials for long-acting diabetes treatments to Sanofi, a multinational pharmaceutical firm.
The deal is worth a total of €3.9 billion (US$4.2 billion). The company explained that the new materials reduce negative side effects and optimize medical effects by minimizing dosing frequencies and dosages. Under the terms of the agreement, Hanmi will receive an upfront payment of €400 million (US$435 million), and is eligible for up to €3.5 billion (US$3.8 billion) in development, registration and sales milestones, as well as double digit royalties on net sales.
In addition, Sanofi will obtain an exclusive worldwide license to develop and commercialize drugs based on the materials. But Hanmi Pharmaceutical will retain an exclusive option to co-commercialize the products in Korea and China.