Sandoz strikes $77mn upfront deal with Henlius for three biosimilar drugs

Sandoz (SDZ) has agreed to pay up to $77mn upfront to Shanghai Henlius Biotech (2696) for licensing rights to three biosimilar drugs, as the Swiss generics group moves to expand its pipeline ahead of what it describes as an unprecedented wave of biologic patent expiries over the coming decade.

The three treatments — spanning cholesterol, lupus and colorectal cancer indications — are at clinical or pre-clinical stage. Under the terms of the agreement, Sandoz will receive global commercialization rights outside China. Henlius is also eligible for development milestone payments of up to $160mn and commercial milestones of up to $77mn.

The biosimilars target evolocumab, the cholesterol drug marketed as Repatha by Amgen (AMGN); belimumab, the lupus treatment sold as Benlysta by GSK (GSK); and cetuximab, the colorectal cancer therapy marketed as Erbitux by Bristol-Myers Squibb (BMY), Eli Lilly (LLY) and Merck KGaA (MKKGY). According to Henlius, which cited data from health research firm IQVIA, combined global sales of the three reference products reached roughly $10.8bn in 2025, with evolocumab accounting for $6.6bn, belimumab $2.5bn and cetuximab $1.7bn.

Sandoz said the transaction advances its strategy to capture a meaningful share of the global biosimilar market as a large cohort of biologic drugs loses patent protection in the years ahead. Biosimilars are biological medicines that closely replicate approved reference products, playing a role analogous to conventional generics in the small-molecule drug market.