Pfizer strikes US$6B licensing deal with 3SBio for novel cancer therapy

CHINA—Pfizer has entered into a significant global licensing agreement with the Chinese biopharmaceutical company 3SBio for the development, manufacturing, and commercialization of a promising cancer drug, SSGJ-707.

This bispecific antibody targets two critical proteins involved in cancer progression: programmed cell death protein 1 (PD-1) and vascular endothelial growth factor (VEGF).

Currently, SSGJ-707 is undergoing clinical trials in China for several cancers, including non-small cell lung cancer, metastatic colorectal cancer, and gynecological tumors, with 3SBio planning to start the first Phase III trial in China in 2025.

Under the terms of the agreement, 3SBio and its subsidiaries—Shenyang Sunshine Pharmaceutical and 3S Guojian Pharmaceutical (Shanghai)—will grant Pfizer exclusive global rights to SSGJ-707, excluding China.

However, Pfizer retains an option to commercialize the drug within China as well.

This deal marks a strategic expansion of Pfizer’s oncology portfolio by adding a potentially effective bispecific antibody to its pipeline.

Financially, Pfizer will pay 3SBio an upfront amount of US$1.25 billion.

In addition, 3SBio stands to earn up to US$4.8 billion in milestone payments, which are contingent upon achieving specific development, regulatory, and commercial goals.

Furthermore, 3SBio will receive tiered double-digit royalties on future sales of SSGJ-707, provided the drug gains regulatory approval.

The transaction is expected to close in the third quarter of 2025, subject to customary closing conditions, including regulatory approvals and shareholder consent from 3SBio.

As part of the agreement, Pfizer will also invest US$100 million in 3SBio through a securities subscription agreement, strengthening the partnership between the two companies.

Pfizer plans to manufacture the drug substance for SSGJ-707 in Sanford, North Carolina, and the finished drug product in McPherson, Kansas, ensuring robust production capabilities within the United States.

Following the announcement of this licensing deal, 3SBio’s shares surged by 35% on the Hong Kong stock market, boosting the company’s valuation to approximately US$6 billion, according to Reuters.

This reflects strong investor confidence in the potential of SSGJ-707 and the strategic value of the collaboration with Pfizer.

This agreement comes shortly after Pfizer’s divestiture of its remaining 7.3% stake in Haleon, a consumer healthcare company spun off from GSK, which Pfizer sold for £2.55 billion (US$3.3 billion) in March 2025.

This move marked the completion of Pfizer’s multi-year separation from GSK’s former Consumer Healthcare business, allowing Pfizer to focus more on its core pharmaceutical and oncology businesses.

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