Jiangsu Vcare Pharmatech Co., Ltd. has announced an exclusive strategic partnership with Huadong Medicine Co., Ltd. for the commercialization of VC005 tablets, a second-generation JAK1 inhibitor, in mainland China. The agreement positions Huadong Medicine to leverage its extensive commercial network while Vcare advances its lead autoimmune asset through late-stage clinical development.
Partnership Structure and Financial Terms
Under the licensing agreement, Jiangsu Vcare will retain its role as marketing authorization holder (MAH) and maintain responsibility for research and development, regulatory registration, manufacturing, and supply of VC005 tablets. Huadong Medicine will assume full responsibility for commercialization and market promotion activities across mainland China.
The financial structure includes an upfront payment of RMB 50 million to Jiangsu Vcare, with additional registration milestone payments reaching up to RMB 180 million. This arrangement allows Vcare to maintain control over the drug's development while securing significant funding for continued clinical advancement.
VC005 Clinical Development Program
VC005 tablets represent a novel, potent, and highly selective second-generation JAK1 inhibitor designed to treat multiple autoimmune diseases. The therapy is currently being evaluated in a Phase III trial for moderate-to-severe atopic dermatitis in China, representing the most advanced indication in its development program.
The clinical pipeline extends beyond atopic dermatitis, with Phase III trials for ankylosing spondylitis and Phase II trials for vitiligo currently being initiated. The development program also encompasses rheumatoid arthritis, demonstrating the broad therapeutic potential of selective JAK1 inhibition across inflammatory and autoimmune conditions.
Mechanism and Safety Profile
VC005 functions by selectively inhibiting JAK1, which attenuates inflammatory responses and immune cell activation. A key differentiating feature of VC005 is its reduced inhibition of JAK2 compared to JAK1, based on in vitro kinase assay results. This selectivity profile potentially mitigates safety concerns associated with excessive JAK2 inhibition observed in clinical settings with other JAK inhibitors.
The selective inhibition approach addresses a critical challenge in JAK inhibitor development, where broader JAK inhibition has been associated with safety concerns including increased infection risk and cardiovascular events.
Strategic Rationale
Dr. Gong Yanchun, Co-founder and General Manager of Jiangsu Vcare, emphasized the strategic importance of the partnership: "As one of Jiangsu Vcare's core clinical-stage assets, VC005 tablets represent a significant strategic move in the autoimmune field. This collaboration with Huadong Medicine underscores the strong commercial potential of our self-developed innovative drugs, while accelerating their pathway to market and maximizing both clinical and commercial value."
Mr. Lv Liang, Chairman and General Manager of Huadong Medicine, highlighted the alignment with the company's strategic priorities: "The autoimmune field is a core strategic priority for Huadong Medicine. VC005 tablets, with their potential to address multiple autoimmune conditions including atopic dermatitis, ankylosing spondylitis, and vitiligo, will further strengthen our leading position in China's autoimmune market."
Company Profiles
Jiangsu Vcare, founded in 2010 and headquartered in Nanjing, employs over 900 people and operates as a high-tech biopharmaceutical enterprise focused on discovering innovative drugs and advanced therapies. The company has established a dual-engine business model combining proprietary innovative drug R&D with comprehensive chemical drug development and manufacturing services.
Huadong Medicine, established in 1993 and headquartered in Hangzhou, has evolved into a large integrated pharmaceutical company with four business segments: Pharmaceutical Manufacturing, Pharmaceutical Commerce, Medical Aesthetics, and Industrial Microbiology. In 2024, the company achieved revenue of RMB 41.9 billion and employs over 10,000 people, providing extensive commercial coverage and marketing capabilities across China.
