Hengrui Pharma announced a significant project licensing agreement in pre-market trading.

The pharmaceutical leader Hengrui Pharma has major news once again!

On the morning of September 5, Hengrui Pharma released an announcement regarding the signing of an HRS-1893 project licensing agreement with Braveheart Bio.

Hengrui Pharma stated that it has reached an agreement with U.S.-based Braveheart Bio, Inc. (hereinafter referred to as "Braveheart Bio") to grant paid licensing of its proprietary Class 1 innovative drug HRS-1893 project to Braveheart Bio. Hengrui is eligible to receive milestone payments related to clinical development and sales, with a maximum potential of $1.013 billion.

Here are the details:

**Milestone Payments Could Reach Up to $1.013 Billion**

According to Hengrui Pharma's disclosure, Hengrui will grant Braveheart Bio exclusive rights to develop, manufacture, and commercialize HRS-1893 globally, excluding Mainland China, Hong Kong Special Administrative Region, Macau Special Administrative Region, and Taiwan Region.

HRS-1893 is a Myosin selective inhibitor that works by inhibiting cardiac myosin adenosine triphosphate (ATP) enzyme activity, thereby inhibiting excessive cardiac contraction, reducing left ventricular hypertrophy, and improving diastolic relaxation. The drug is currently in Phase III clinical development for treating obstructive hypertrophic cardiomyopathy (oHCM).

Regarding the counterparty, Braveheart Bio is a company established in Delaware, USA in 2024. Its Chief Executive Officer (CEO) Travis Murdoch has over 10 years of experience in life sciences investment, operational management, and clinical medicine. Braveheart Bio's major investors include Forbion Capital and OrbiMed.

Braveheart Bio will pay Hengrui an upfront payment of $65 million (including $32.5 million in cash and equivalent $32.5 million in Braveheart Bio company equity) and a near-term milestone payment of $10 million after completing technology transfer, totaling $75 million. Hengrui is eligible to receive milestone payments related to clinical development and sales, with a maximum potential of $1.013 billion.

Additionally, based on HRS-1893 sales globally excluding Mainland China, Hong Kong Special Administrative Region, Macau Special Administrative Region, and Taiwan Region, Braveheart Bio will pay corresponding sales royalties to Hengrui.

Hengrui Pharma stated that signing this agreement will help expand HRS-1893's overseas market, provide quality treatment options for global patients, and further enhance the company's innovative brand and overseas performance. Hengrui Pharma adheres to a dual approach of independent R&D and open cooperation, strengthening international collaboration based on endogenous development to achieve rapid conversion of R&D results, leveraging international leading partners to cover overseas markets, accelerating integration into the global drug innovation network, maximizing product value, and enabling the company's innovative products to serve global patients.

Hengrui Pharma also cautioned that the drug development cycle from research, clinical trial approval to production is long with many stages, and drug R&D and market launch are susceptible to various uncertain factors. There are certain risks regarding whether HRS-1893 can ultimately be successfully approved and launched overseas.

Furthermore, the milestone payments specified in the agreement require meeting certain conditions, and the final milestone payment amount remains uncertain. The company urges investors to make cautious decisions and be mindful of investment risks. Hengrui Pharma will fulfill information disclosure obligations regarding subsequent project developments in accordance with national regulations.

**First A-Share Buyback**

Since the beginning of this year, the A-share innovative drug sector has remained active. However, under yesterday's broad market decline, Hengrui Pharma's stock price fell. As of the close on September 4, Hengrui Pharma's A-share price was 68.65 yuan per share, down 4.63%.

Yesterday evening, Hengrui Pharma announced that on September 4, the company conducted its first A-share buyback through centralized competitive trading, repurchasing 270,000 shares. The repurchased shares account for 0.004% of the company's total share capital, with a highest transaction price of 67.97 yuan per share, lowest price of 67.75 yuan per share, and total payment of 18.3139 million yuan (excluding transaction fees).

According to Hengrui Pharma's announcement last month, the board of directors agreed to use the company's own funds to repurchase company shares through centralized competitive trading for implementing an A-share employee stock ownership plan. The repurchase price shall not exceed 90.85 yuan per share (inclusive), with total repurchase funds of no less than 1 billion yuan and no more than 2 billion yuan.

Yesterday evening, Hengrui Pharma also announced that its subsidiary Fujian Shengdi received the "Drug Clinical Trial Approval Notice" for HRS-4729 injection approved by the National Medical Products Administration, and clinical trials will commence soon.

According to the introduction, HRS-4729 injection is a peptide drug independently developed by the company, serving as a glucagon-like peptide-1 receptor (GLP-1R)/glucose-dependent insulinotropic polypeptide receptor (GIPR)/glucagon receptor (GCGR) triple agonist. Upon inquiry, no similar products have been approved for market launch domestically or internationally.

Regarding performance, in the first half of 2025, Hengrui Pharma achieved operating revenue of 15.761 billion yuan, up 15.88% year-over-year; net profit attributable to shareholders of the listed company was 4.45 billion yuan, up 29.67% year-over-year.

Regarding performance growth during the reporting period, Hengrui Pharma mentioned that its innovative drug sales revenue was 7.57 billion yuan with relatively rapid year-over-year growth; the received $200 million upfront payment from Merck Sharp & Dohme and $75 million from IDEAYA for outbound licensing were recognized as revenue, contributing significantly to profit increases.