By Fineline Cube 
Fosun Pharmaceutical (Group) Co., Ltd. (SHA: 600196, HKG: 2196) announced that its subsidiary Chongqing Yaopharma Co., Ltd. has granted Pfizer Inc. (NYSE: PFE) exclusive global rights to develop, manufacture, and commercialize YP05002, an oral small‑molecule GLP‑1R agonist for metabolic diseases.
Transaction Structure
| Component | Details |
|---|---|
| Asset Licensed | YP05002 (oral GLP‑1R agonist) + backup compounds |
| Upfront Payment | USD 150 million (non‑refundable) |
| Milestone Payments | Up to USD 1.935 billion (development: $485 M; regulatory: $720 M; commercial: $730 M) |
| Royalties | Tiered 8‑12% on global net sales |
| Territory | Worldwide exclusive |
| Yao Pharma Role | Complete ongoing Phase I in Australia; transfer CMC package to Pfizer by Q3 2026 |
| Pfizer Role | Lead global Phase II/III, manufacturing scale‑up, and commercialization |
| Effective Date | 09 Dec 2025 (pending antitrust clearance) |
Drug Profile & Competitive Position
| Attribute | YP05002 | Key Competitors |
|---|---|---|
| Mechanism | Oral small‑molecule GLP‑1R agonist | Injectable semaglutide (Novo), tirzepatide (Lilly); oral semaglutide (Rybelsus) |
| Indications | Chronic weight management, Type 2 Diabetes, MASH | Obesity, T2D (Pfizer’s discontinued lotiglipron targeted same space) |
| Phase I Status | Ongoing in Australia (healthy volunteers + T2D patients) | Phase I data expected Q3 2026 |
| Differentiation | Small‑molecule (vs peptide) may enable lower cost, improved GI tolerability, and easier combo formulations | |
| Peak Sales Forecast | $3.5‑5.0 billion (global, 2032) if approved | Oral GLP‑1 market projected to exceed $25 billion by 2030 |
Market Opportunity & Strategic Implications
- Pfizer’s Redemption Play: Pfizer discontinued its internal lotiglipron program in 2023 due to liver enzyme elevations; licensing YP05002 provides a late‑stage entry into the high‑growth oral GLP‑1 market without internal R&D overhang.
- Fosun’s Capital Infusion: The $150 million upfront strengthens Fosun’s balance sheet and validates its innovation platform; milestones could fund YP05002‑adjacent pipeline (MASH combo, cardiometabolic).
- Global GLP‑1 Landscape: Novo Nordisk’s Wegovy and Eli Lilly’s Zepbound dominate injectables; oral Rybelsus captured $3.2 billion in 2024 sales. YP05002’s small‑molecule profile may support once‑daily dosing and better payer access in emerging markets.
- China Angle: Fosun retains co‑promotion rights in Greater China, potentially launching YP05002 in 2029, tapping a ¥15 billion oral diabetes/obesity market.
Forward‑Looking Statements
This brief contains forward‑looking statements regarding YP05002 development timelines, market size estimates, and milestone achievements. Actual results may differ due to regulatory delays, competitive responses, or unforeseen safety issues.-Fineline Info & Tech