U.S. pharmaceutical giant Pfizer has entered into an agreement with domestic startup Hangzhou Sciwind Biosciences to secure exclusive commercialization rights in China for one of the latter’s weight-loss therapies. The move is intended to strengthen Pfizer’s position in the high-growth obesity drug market. According to a statement, the deal involves the drug ecnoglutide, which was recently approved in China for treating diabetes and is currently under regulatory review for weight-loss indications. Sciwind stated that the total value of the transaction could reach up to $495 million, including an upfront payment and milestone-based payments, though specific details were not disclosed.

Pfizer has been actively working to catch up with leaders in the obesity drug sector. The president of Pfizer China noted in the statement that the collaboration "accelerates Pfizer’s long-term strategic focus in the metabolic disease area to meet the growing needs of Chinese patients." He pointed out that obesity affects 14.1% of adults in China and has been identified as a priority in the government’s "Healthy China" initiative.

Pfizer is seeking to rebuild its business in the post-pandemic era. With many of its core products facing intensified competition and its initial efforts in the weight-loss drug market encountering setbacks, the company is under pressure to identify new revenue streams. The partnership with Sciwind is also expected to bolster Pfizer’s operations in China. As of 2024, China accounts for 4% of Pfizer’s total revenue, though the business has undergone multiple rounds of restructuring in recent years.

In China’s weight-loss drug market, Pfizer will compete directly with global pharmaceutical giants as well as domestic rivals such as Innovent Biologics. Sciwind’s ecnoglutide functions similarly to Novo Nordisk’s semaglutide (Ozempic), both mimicking a natural hormone called glucagon-like peptide-1 (GLP-1) to regulate blood sugar and suppress appetite. However, Sciwind believes that the drug’s slightly different structure makes it more effective and safer than other GLP-1 receptor agonists. In a late-stage study, ecnoglutide demonstrated weight-loss results comparable to those of Eli Lilly’s tirzepatide (Zepbound).

Under the agreement with Pfizer, Sciwind will remain responsible for the development, registration, production, and supply of the drug.