According to Zhitong Finance App, Dongyangguang Changjiang Pharmaceutical (01558) and the offender Guangdong Dongyangyang Pharmaceutical Co., Ltd. jointly announced that the offender, the company and Shenyang Sansheng Pharmaceutical Co., Ltd. (Shenyang Sansheng) (a biopharmaceutical company located in Shenyang, China and a subsidiary of Sansheng Pharmaceuticals, a company listed on the main board of the Hong Kong Stock Exchange (stock code: 1530)) have signed a license agreement relating to clifutinib benzenesulfonate.

According to the terms of the agreement, Shenyang Sansheng was granted exclusive commercial rights to clifutinib benzenesulfonate for specific indications in China, while the offender and company will retain exclusive commercial rights for clifutinib benzenesulfonate outside of China. According to the terms of the agreement, the offeror is expected to receive a down payment of RMB 60 million during the validity of the license agreement, in addition to receiving R&D registration and commercial milestone payments. R&D registration milestone payments are subject to reaching the research phase of the agreement and approval of specific regulators. Commercial milestone payments are contingent on reaching agreed annual sales in each major market. After the initial commercial sale and repayment of clifutinib benzenesulfonate in China, the offeror will pay Shenyang Sansheng the agreed percentage of the net repayment amount for clifutinib benzenesulfonate sales in China for that month as a service fee during the validity period of the agreement. The license agreement is valid for at least 15 years from the date of signing to the date of the first commercial sale. The licensing agreement is an implementation measure relating to the commercialization of pharmaceuticals under the Pharmaceutical Research and Development Pipeline Cooperation Project Framework Agreement signed between the company and the requester on November 29, 2023.