Sandoz has struck a major deal with China’s Shanghai Henlius Biotechnology, securing commercialisation rights to three biosimilars currently in early development.
The Swiss pharmaceutical company will pay up to $100.5 million upfront for the initial assets, with total payments reaching $322 million if all milestones are achieved.
The agreement also paves the way for the two companies to collaborate on up to 10 biosimilars in total, potentially expanding Sandoz’s pipeline significantly over time.
The deal covers biosimilar versions of Amgen’s cholesterol-lowering Repatha (evolocumab), GSK’s lupus drug Benlysta (belimumab), and Eli Lilly and Merck KGaA’s cancer treatment Erbitux (cetuximab).
The three blockbuster drugs generated combined sales of $6.8 billion last year, with Repatha leading the way at $3 billion, a 36% year-over-year increase.
Under the terms of the agreement, Henlius will continue to develop and manufacture the biosimilars while retaining commercial rights in China.
Sandoz will take on marketing responsibilities for the rest of the world, a structure that mirrors the companies’ previous collaboration from April 2025.
That earlier deal saw Sandoz pay $31 million upfront and agree to $270 million in milestones for Henlius’ biosimilar version of Bristol Myers Squibb’s cancer treatment Yervoy, which recorded sales of $2.9 billion in 2025.
The new partnership expands Sandoz’s industry-leading pipeline to 39 biosimilars, with the potential to grow to 46 if the companies agree to add further assets to the collaboration.
Sandoz described the deal as “another milestone” in its effort to “capitalize on a significant share of the unprecedented global biosimilar loss-of-exclusivity market over the next decade.”
Analysts at Jefferies said in a note to investors that they “expect further in-licensing activity at Sandoz to fill an upcoming industry pipeline void,” signalling confidence in the company’s acquisition strategy.
Jefferies also called the Repatha biosimilar “an attractive late-decade biosimilar opportunity,” highlighting the drug’s strong commercial trajectory as a key attraction of the deal.
The analysts noted that Erbitux lost its patent protection a decade ago but that no biosimilars have yet reached market, as the complexity of the compound has “deterred competitors.”
Sandoz reported full-year revenue of $11.1 billion in 2025, with its biosimilars portfolio accounting for 30% of total company sales, a target reached three years ahead of schedule.
Biosimilars sales at Sandoz climbed 13% year over year to $3.3 billion, underlining the growing commercial importance of the segment to the broader business.
Earlier this year, Sandoz announced plans to launch a dedicated biosimilars unit that will operate separately from its small molecule generics division, reinforcing its long-term commitment to the space.