On November 22, Gelonghui reported that Hualing Pharmaceutical-B (02552.HK) announced that on November 21, 2024, its wholly-owned subsidiary Hualing Pharmaceutical Technology (shanghai) Co., Ltd. ("Hualing Shanghai") issued a written notice to Bayer Healthcare Co., Ltd. ("Bayer"), expressing its intention to transfer the commercialization responsibility of the company's innovative glucose kinase activator Huatangning (dorzagliatin tablets) for the treatment of type 2 diabetes in china to the company, effective January 1, 2025.

On August 17, 2020, the parties involved established a cooperative relationship regarding the commercialization of Huatangning in china and entered into an exclusive promotion service agreement. According to the agreement, Bayer obtained exclusive commercialization rights for Huatangning in china. Since the cooperation with Bayer, several milestones related to Huatangning have been achieved. These milestones include: Huatangning was approved for sale in china by the National Medical Products Administration in October 2022; it was included in the National Reimbursement Drug List (NRDL) starting from January 1, 2024; as of the date of this announcement, it has entered more than 2,000 hospitals in china; and it has recently been included in the "Chinese Diabetes Prevention and Treatment Guidelines (2024 Edition)" by the Chinese Diabetes Society.

To achieve the transition, the company has the right and plans to terminate the agreement effective January 1, 2025. From the date of this announcement until the termination date takes effect, Bayer and the company will continue to fulfill their obligations under the agreement and commit to initiating a friendly, patient-centered transition plan. To support the continuous commercialization of Huatangning in china, the company may seek other potential partners to commercialize Huatangning in china.