Junshi Biosciences and AstraZeneca join hands to promote cancer drug

Shanghai-based Junshi Biosciences announced an agreement with AstraZeneca on Monday, hoping to take advantage of the multinational firm's global and domestic marketing network to promote its cancer drug.

This marks a latest step for home-grown companies to speed up the rolling-out of innovative drugs in lower-tier cities and county-level markets by leveraging mature marketing and promotion capabilities from established firms. 

AstraZeneca said it expects this to become a role model for collaboration between foreign and local firms covering various drug and disease types.

The agreement is not immediately available but according to a stock exchange filing by Junshi Biosciences, which is dual listed in Shanghai and Hong Kong, AstraZeneca will have exclusive promotional rights for Junshi's anti-PD1 antibody injection for melanoma in rural areas. The drug was approved in China in December 2018.

For the next step, Junshi Biosciences will grant AstraZeneca the exclusive rights in promoting the drug's urinary cancer all over the country and all other indications outside of core urban areas when they are approved.

It is not disclosed how to distribute earnings of the drug. But Junshi will receive a down payment following the approval of urinary cancer indication and pay a service fee to AstraZeneca on a quarterly basis.

"Junshi and AstraZeneca will continue to explore business opportunities around the world, including in emerging markets, and expand the depth of future cooperation," according to the stock exchange filing.