From the left, Jaejun Jung, CEO of Aribio; Yuching Chen, Chairman and CEO of Fuxing Pharmaceutical; and Ler Chen, Co-Chairman and CEO of Newco Pharma. Fuxing Pharmaceutical and Newco Pharma signed the final contract for the exclusive manufacturing and sales rights of Aribio’s AR1001 in the Greater China region on July 28 in Shanghai, China. Aribio
Aribio announced on July 29 that Fosun Pharmaceutical Group, a global pharmaceutical company based in China, has been selected as the final partner responsible for the commercialization of the oral Alzheimer's disease treatment AR1001 in the Greater China region.
Neuco United Pharmaceutical (hereafter Neuco Pharma), which holds exclusive distribution rights for Aribio's AR1001 in China, announced on July 28 that it has signed an exclusive distribution agreement with Fosun Pharmaceutical in Shanghai for the manufacturing and commercialization of AR1001 in mainland China, Hong Kong, and Macau.
With this, Aribio has established a three-party partnership, completing preparations for the commercialization of AR1001 in the Greater China region. Based on Fosun Pharmaceutical's strong commercialization capabilities, regulatory expertise, and production infrastructure, it is expected that the supply of AR1001 in the Chinese market will be continuously expanded through strategic marketing in the future.
Neuco Pharma has established a partnership with Aribio for the development of diagnostics and therapeutics for degenerative brain diseases and joint research on artificial intelligence (AI) technology. Headquartered in Hong Kong, Neuco Pharma was founded by experts with many years of experience in new drug development, clinical trials, regulatory affairs, and marketing in the global biopharmaceutical industry. Its main areas of focus include research and development of treatments for neurodegenerative diseases such as Alzheimer's disease (AD), AI-based new drug development platforms, and blood-based diagnostic technologies for AD.
In particular, early last year, Neuco Pharma secured exclusive rights to AR1001 in China from Aribio for 5.509 billion yuan (approximately 1.02 trillion KRW). In the global phase 3 clinical trial of AR1001, which is being conducted in 13 countries with approximately 1,500 participants, Neuco Pharma has taken the lead in clinical and regulatory affairs in China, completing the registration of 126 patients at 25 clinical centers.
Fosun Pharma, established in 1994, is a global pharmaceutical company headquartered in Shanghai, China. It provides integrated solutions from early-stage drug development to commercialization in more than 50 countries worldwide and recorded sales of approximately 8.3 trillion KRW last year. It is the core pharmaceutical company under Fosun International Group, which recorded sales of about 37.6 trillion KRW, and is listed on both the Shanghai and Hong Kong stock exchanges.
In addition, Fosun Pharma holds a 49% stake in Sinopharm Industrial Investment, the holding company of Sinopharm, China's largest pharmaceutical company, and has established the largest pharmaceutical distribution network and strategic partnerships in China. With a strong pipeline in oncology, immunology, infectious diseases, and central nervous system disorders, it is recognized for its global R&D and commercialization capabilities and competitiveness.
Under the agreement with Neuco Pharma, Fosun Pharmaceutical will have exclusive rights to manufacture and commercialize AR1001 in the Greater China region. The total value of the agreement, including upfront and milestone payments, exceeds 1 billion USD (approximately 1.4 trillion KRW), with an additional double-digit royalty rate.
Following this license agreement, Aribio, Neuco Pharma, and Fosun Pharmaceutical plan to sign a drug supply agreement to expedite commercialization in China. In addition, driven by Fosun Pharmaceutical Group's strong intention to expand commercialization rights for AR1001 to the ASEAN market, the parties have agreed to begin license negotiations covering the entire Southeast Asian region.
Chen Qiying, Chairman and CEO of Fosun Pharmaceutical, stated, "Alzheimer's disease remains a major neurodegenerative disorder representing significant unmet medical needs in China and worldwide. By leveraging Fosun's expertise in new drug commercialization and close collaboration with Aribio and Neuco Pharma, we aim to accelerate the launch of AR1001 in China and provide patients with innovative treatment options."
Jaejoon Jung, CEO of Aribio, commented, "It is highly significant that Fosun Group, a major pharmaceutical company in China, has directly taken the lead in the commercialization of Aribio's AR1001 in the Greater China region through this final agreement. With Fosun Pharmaceutical's global new drug sales capabilities and its position as a major shareholder in Sinopharm Group, China's largest pharmaceutical company, we expect substantial synergies for AR1001's market entry and expansion through shared distribution infrastructure and strategic collaboration."
He added, "Now that the exclusive distribution rights holders for each country have been transparently disclosed, we expect this to serve as a positive momentum for major management events such as the upcoming merger with Solux and the completion of phase 3 clinical trials."
Meanwhile, Aribio is currently pursuing a merger with Kosdaq-listed Solux, with the merger date set for October 14.
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