Bayer Joins Big Pharma's China Push with Oncology Deal

German pharmaceutical giant Bayer has entered the growing trend of Big Pharma partnerships with Chinese biotechs, announcing a licensing agreement with Puhe BioPharma for a promising oncology drug. This move aligns Bayer with other industry leaders who have recently made significant investments in Chinese pharmaceutical innovation.

Bayer's Strategic Oncology Play

Bayer has secured exclusive worldwide rights to develop and manufacture a PRMT5 inhibitor, now designated as BAY 3713372, targeting MTAP-deleted tumors. These cancer types, characterized by the loss of the MTAP gene, are particularly vulnerable to drugs that target specific metabolic pathways.

Dominik Ruettinger, global head of research and early development for oncology at Bayer, emphasized the potential impact of this drug, stating, "Loss of the MTAP gene occurs in a variety of tumor types, including those with few treatment options and poor prognosis, such as pancreatic cancer and glioblastoma."

The PRMT5 inhibitor is currently undergoing a global Phase I dose escalation trial in patients with MTAP-deleted solid tumors, positioning Bayer in a competitive race with other pharmaceutical giants pursuing similar therapies.

Industry-wide Race for PRMT5 Inhibitors

Bayer's latest acquisition puts them in direct competition with at least three other major pharmaceutical companies developing PRMT5 inhibitors for MTAP-deleted tumors:

1. AstraZeneca: Conducting the Phase I/II PRIMROSE trial for AZD3470
2. Bristol Myers Squibb: In Phase I and I/II trials for MRTX1719
3. Amgen: Recruiting for a Phase I trial of AMG 193

This intense focus on PRMT5 inhibitors underscores the potential significance of this therapeutic approach in oncology.

Big Pharma's Growing Interest in Chinese Partnerships

Bayer's deal with Puhe BioPharma is part of a larger trend of multinational pharmaceutical companies seeking innovative molecules from Chinese biotechs. Recent notable partnerships include:

• Merck: Committed up to $2 billion for a lipid-lowering drug from Jiangsu Hengrui
• Novo Nordisk: Pledged up to $2 billion for a new triple-G obesity drug from United Laboratories
• AstraZeneca: Invested approximately $10 billion in various Chinese partnerships and initiatives, including:
  • Up to $4.4 billion for molecules from Harbour BioMed's immunology pipeline
  • Up to $3.4 billion to Syneron Bio for undisclosed targets in rare diseases
  • $2.5 billion to build a new research and development center in Beijing

These substantial investments highlight the growing importance of Chinese innovation in the global pharmaceutical landscape and the willingness of major players to make significant financial commitments to access promising new therapies.