Join Hands With China Biopharmaceutical Subsidiary: Speed Up Commercialization Of Panshengzi Cancer Screening Business

At the beginning of the new year, a massive cooperation was reached, which made pan Shengzi's cancer screening business enter the fast track of commercialization.

On the evening of January 6, panshengzi announced that, together with China biopharmaceutical subsidiary, Zhengda Tianqing Pharmaceutical Group Co., Ltd. (hereinafter referred to as "Zhengda Tianqing"), the early screening product of liver cancer based on liquid biopsy technology, hccscreen ™ Signed China's exclusive strategic cooperation agreement.

Through this cooperation, the two sides will jointly open up the hospital market and promote hccscreen in designated areas of China in the next three years ™ To serve high-risk groups of liver cancer, including hepatitis B virus carriers and other liver disease patients; panshengzi will provide product production and laboratory operation services for the cooperation; and Zhengda Tianqing has mature sales experience and market resources of liver disease drug hospitals covering the whole country, which will help hccscreen ™ Quickly open the hospital market.

Before that, pan born children had passed the health examination institutions and the government's livelihood project, and the hccscreen ™ Commercial promotion. This cooperation with Zhengda Tianqing to open up the hospital market will further improve hccscreen ™ The penetration rate and penetration rate of cancer screening market in China. This also means that the pan born hccscreen ™ Large scale commercialization is about to be realized, and the revenue of cancer early screening business is expected to usher in rapid growth.

"This is a very influential collaboration in the whole cancer screening market." Wang Sizhen, co-founder and CEO of panshengzi, said in an exclusive interview with 21st century economic report, "we hope to complete the product training of internal sales team with Zhengda Tianqing as soon as possible, so that the promotion can start as soon as possible and bring the product to all who need it. This is a huge high-speed train, and now the departure bell has rung. "

Complement each other's advantages to achieve cooperation and seek a closed-loop management of liver disease in the future

"It can be said that we and Zhengda Tianqing hit it off. We chose to officially start cooperation in early 2021. We also hope to cooperate with hccscreen ™ In the hospital market promotion has a complete year-round plan. " Wang Sizhen said.

It is understood that the cooperation signed between panshengzi and Zhengda Tianqing is also an exclusive cooperation, hccscreen ™ In the hospital market promotion will only cooperate with Zhengda Tianqing. Zhengda Tianqing will only use hccscreen in the promotion of liver cancer early screening products ™。

On the one hand, the consensus of the mission and vision of the two companies in the field of liver diseases is the reason why the two sides can quickly reach this strategic cooperation. Both sides are committed to developing innovative diagnosis and treatment products for liver diseases and tumors, so that patients with liver diseases can benefit from it. "At the project kick-off meeting on January 6, we had another communication with the senior executives of Zhengda Tianqing, and we could feel the resonance in our hearts." Wang Sizhen said.

On the other hand, there are complementary advantages between the two companies. "Zhengda Tianqing has been working in the field of liver diseases for many years. It has the advantages of brand channels and has established a wide sales network. We have cutting-edge technologies and products in the world that can really help patients with liver diseases. " He explained.

Specifically, Zhengda Tianqing, the largest subsidiary of China biopharmaceutical, focuses on the R & D and production of liver and tumor drugs. It has a sales team of more than 7000 people, serves more than 2000 general hospitals and liver disease specialist hospitals, and occupies more than 35% of the market share in the field of antiviral drugs in China.

Panshengzi has global cutting-edge technology R & D and innovation capabilities. It is the only company participating in the research and development of early screening for liver cancer, lung cancer and digestive tract cancer, which is the only company that has participated in the national science and technology major special project of early screening of liver cancer, lung cancer and digestive tract cancer ™ On September 30, 2020, it was recognized as "breakthrough device design" by FDA.

"We hope that hccscreen ™ It means not only to optimize the cost structure, education market and promote products, but also to promote medical insurance coverage more quickly. Zhengda Tianqing is a strong pharmaceutical enterprise, and we can learn a lot from them in this respect. " Wang Sizhen said.

According to Frost & Sullivan survey data in 2019, there are about 120 million high-risk population of liver cancer in China, of which 74 million are hepatitis B virus carriers. If the penetration rate of 10% - 20% can be achieved through self payment and medical insurance coverage among 120 million high-risk population of liver cancer, it will be a huge market for Pan born children. At the same time, early and timely screening can also effectively reduce the mortality of liver cancer.

It is worth noting that this hccscreen ™ Pan Shengzi and Zhengda Tianqing are jointly planning a longer-term goal of achieving a closed-loop liver disease management.

"Zhengda Tianqing's previous work in the field of liver disease is somewhat similar to the management of liver cancer pre disease. After our cooperation, we just completed the liver cancer. From the treatment and monitoring of liver disease, to the early screening and treatment of liver cancer, and then to the monitoring after the future treatment of liver cancer, the combination of resources from both sides can form a real liver disease management closed-loop Wang Sizhen said.

The cooperation mode has been preceded overseas, and the company has opened up the space for revenue imagination

In fact, the cooperation mode between panshengzi and Zhengda Tianqing has been verified overseas. The global cancer early screening head enterprise exact sciences has also cooperated with the world-famous pharmaceutical company frayda to open up sales channels.

It is understood that exact sciences, founded in 1995, is a molecular diagnosis company focusing on non-invasive colorectal cancer. It was listed on NASDAQ in January 2001. Its core product cologuard is jointly developed by exact sciences and Mayo Clinic. It is the first and only early screening product for colorectal cancer based on fecal DNA approved by FDA.

In August 2018, exact sciences announced that it had reached a cooperation with Pfizer, which combined the sales experience and resources of cologuard and Pfizer. Through channel expansion, it quickly and widely reached potential users, and significantly improved the product coverage and popularity. At the same time, Pfizer is also trying to accurately match its related drugs for selected early cancer patients.

After one year of cooperation, according to the third quarter report of exact sciences in 2019, cologuard's detection volume has reached 456000 times, bringing about 219 million US dollars for exact sciences. In the first nine months of 2019, exact's sales were about $581 million, and Q4's revenue was $257 million. As of December 31, 2020, exact sciences closed at US $132.49 per share, with a total market value of US $21.07 billion.

The disclosure of the cooperation between panshengzi and Zhengda Tianqing also received immediate market feedback. On January 6, when the cooperation news was disclosed, panshengzi's share price reached a maximum of $18.15, with the highest rise of 32.39%.

"I believe that our cooperation with Zhengda Tianqing will be even better than that between exact sciences and Pfizer." Wang Sizhen said confidently.

At the same time, unlike exact sciences, panshiko has also opened up more business cooperation paths and cancer coverage.

First of all, in terms of the exploration of commercialization path, panshengzi also adopted the commercialization mode of health examination institutions and government livelihood projects: the company cooperated with Aikang Guobin to carry out liver cancer early screening and detection service in 145 stores across the country ™ It was adopted by Wuxi Municipal government and participated in the public health plan "comprehensive prevention and control project of liver cancer early screening" jointly sponsored by National Cancer Center and Wuxi Municipal government.

Second, in terms of cancer coverage, unlike exact sciences, which only focuses on colorectal cancer, panshengzi plans to focus on liver cancer, lung cancer and digestive tract cancer, and develop independent, low-cost early screening products for high-risk cancer species based on the characteristics of cancer incidence in the Chinese population. Due to the universality of its original research technology platform, the long-term goal of panshengzi will be to combine the biomarkers of each single cancer and develop a product that can realize early screening of multiple cancers.

Wang Sizhen also said that hccscreen ™ It is the first benchmark product in the field of panshengzi cancer early screening, but it will not be the only one. The company also has early screening products covering other cancer species in the process of research and development.

Moreover, cancer early screening is only one of the three business sectors of panshengzi. As a company providing one-stop molecular detection solutions covering the whole cancer cycle, panshengzi is also making every effort to promote diagnosis and monitoring business and drug research and development services. Its diagnosis and monitoring business is also the company's main source of income before the commercialization of cancer screening business.

"We will unswervingly carry out business layout along the three major sectors. In three to five years, panshengzi will become a company with a complete layout in the industry and apply genomics to the whole cancer cycle." Wang Sizhen said.