GSK Pays $500 Million for Hengrui COPD Drug, Eyes $12 Billion Pipeline

GSK has agreed to pay China’s Jiangsu Hengrui Pharmaceuticals $500 million upfront for an exclusive licence to HRS-9821, an experimental PDE3/4 inhibitor being tested as an add-on maintenance therapy for chronic obstructive pulmonary disease. The pact also gives the British drugmaker options on 11 additional Hengrui programmes in respiratory, immunology, inflammation and oncology, lifting the deal’s potential value to about $12 billion if every asset is advanced and all development, regulatory and sales milestones are met. HRS-9821 is in Phase 1 trials and can be formulated as a dry-powder inhaler, complementing GSK’s established respiratory portfolio that includes the Trelegy Ellipta inhaler and newly approved Nucala for COPD. GSK Chief Scientific Officer Tony Wood said the collaboration targets “validated” mechanisms and broadens the company’s pipeline to address patients who are not adequately served by current therapies. The agreement continues a growing trend of Western pharmaceutical companies sourcing innovation from China’s biotech sector. Investors welcomed the news: Hengrui’s Shanghai-listed shares jumped 6.6% and its Hong Kong stock gained 8.5%, while GSK rose 1.5% in London trading. GSK is seeking to exceed £40 billion in annual revenue by 2031 and views the Hengrui partnership as a step toward hitting that goal.