To strengthen its layout in China’s rapidly growing weight-loss drug market, American pharmaceutical giant Pfizer Inc. (PFE) has entered into an agreement with Hangzhou-based innovative biotech Sciwind Biosciences, securing the exclusive commercialization rights in China for one of Sciwind’s obesity therapies.
According to a joint statement, the core asset of this collaboration is ecnoglutide. The drug was recently approved in China for the treatment of diabetes, while its marketing application for the obesity indication is currently under regulatory review. Sciwind disclosed that the total value of the deal could reach up to $495 million, including an upfront payment and subsequent milestone-based payments, but did not reveal specific payment details.
This partnership marks a significant step in Pfizer’s post-pandemic business reshaping. Facing intensifying competition for its core products and early setbacks in its initial foray into the weight-loss drug sector, Pfizer is under pressure to find new revenue streams. The alliance with Sciwind is expected to boost its performance in the Chinese market. As of 2024, China accounted for 4% of Pfizer’s global revenue, although this segment has undergone several adjustments in recent years.
In the Chinese market, Pfizer will directly compete with both global pharmaceutical giants and local players like Innovent Biologics. Pfizer’s China President stated in the release that this collaboration will “accelerate Pfizer’s long-term strategic layout in the metabolic field to meet the growing needs of Chinese patients.” He specifically noted that obesity affects 14.1% of Chinese adults and has been designated a priority under the government’s “Healthy China” initiative.
Sciwind’s ecnoglutide operates on a similar mechanism to Novo Nordisk’s blockbuster drug semaglutide, both mimicking the natural hormone GLP-1 to regulate blood sugar and suppress appetite. However, Sciwind believes its drug’s unique structure could offer enhanced efficacy and safety. In a late-stage study, ecnoglutide demonstrated weight-loss effects comparable to Eli Lilly’s tirzepatide. Under the agreement, Sciwind will continue to be responsible for the drug’s development, registration, manufacturing, and supply.
Pfizer is actively building new growth trajectories through external collaborations and acquisitions. The company previously acquired Metsera, a company focused on developing weight-loss drug candidates, as a move to enter the obesity drug market—dominated by Eli Lilly and Novo Nordisk—which is projected to approach nearly $100 billion by the end of this decade. Pfizer’s investigation into a monthly dosing regimen could become a key differentiator from the current weekly injections offered by competitors.
Simultaneously, Pfizer is solidifying other business areas through internal R&D and acquisitions. For instance, through its acquisition of Seagen, it gained several marketed products, including the bladder cancer therapy Padcev. Padcev has already achieved double-digit growth, becoming a blockbuster drug with over $1 billion in annual sales.
During this business transformation phase, products recently launched or acquired by Pfizer have achieved double-digit revenue growth. Last year, these products generated over $10 billion in revenue, a significant increase from $8.9 billion the previous year. The company is steadily advancing its growth strategy by adjusting its cost structure and focusing on internal R&D and strategic acquisitions to pave the way for future development.
