Pfizer is spending up to 2.1 billion USD to buy into YaoPharma, hoping to finally get its own weight-loss pill onto pharmacy shelves.
The US drugmaker is acquiring global rights to an oral GLP-1 developed in China. After two misfires in its own pipeline, this is the latest attempt to regain momentum in the fast-growing obesity drug race.
Details
💰 A pill-sized mega-deal: 150 million USD upfront, up to 1.94 billion USD tied to clinical success, approvals and sales. For a project in the earliest clinical stage, Pfizer is putting down a striking amount of money.
🧪 How it works: YP05002 is designed as a pill rather than an injection. YaoPharma will complete Phase 1 in Australia before Pfizer takes over development, manufacturing and global commercialization.
🧬 Combo thinking: Pfizer plans to pair the pill with its own compound PF-07976016. The goal is a tablet combination that can compete with injectable blockbusters like Wegovy or Zepbound.
🏭 A giant market: Drugmakers are pouring billions into new obesity-drug factories worldwide. Analysts expect the global obesity market to reach around 100 billion USD per year by 2030.
Background
Despite political tensions, collaborations between US pharma giants and Chinese developers continue because of speed and cost advantages.
Pfizer’s decision to buy into a very early, but promising, Chinese molecule and plug it into its own combo strategy shows how deeply interconnected modern pharma pipelines have become.
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