Pfizer and China's Innovent Biologics have signed a global licensing and collaboration agreement worth up to $10.5 billion to develop 12 early-stage cancer drug programs. Innovent collects $650 million upfront and is eligible for up to $9.85 billion more tied to development, regulatory and commercial milestones, plus double-digit royalties on net sales.
The portfolio includes antibody-drug conjugates carrying novel payloads and multi-specific antibodies — eight candidates from Innovent's own research and four proposed by Pfizer. Innovent will run the Phase 1 trials, after which Pfizer steps in to drive development across the rest of the world. The transaction is expected to close in the third quarter of 2026, subject to regulatory approval.
It is one of the largest licensing bets on Chinese biotech to date, underscoring how Western drugmakers are increasingly sourcing innovation from China. Innovent's Hong Kong-listed shares jumped as much as 10% on the news.