Kelun Pharmaceutical's Subsidiary Kelun-Biotech Enters Global Licensing Agreement with MSD for Early-Stage Oncology Asset Project B

　　China Securities News (reported by Kang Xi) — Kelun Pharmaceutical announced after the market closed on July 26 that its controlling subsidiary, Kelun-Biotech, had signed an effective licensing agreement with MERCK SHARP & DOHME LLC. ("MSD") on the same day.Kelun-Biotech Grants MSD Exclusive Global License for Early-Stage Clinical Biologic Oncology Project B with Autonomous Intellectual Property Rights. MSD, a global biopharmaceutical company focused on innovative drug research, development, and commercialization, will conduct research, development, manufacturing, and commercialization of the project worldwide.

The announcement stated that MSD will pay Kelun-Biotech an upfront payment, milestone payments, and royalties based on corresponding net sales according to the commercial development stage. Kelun-Biotech will receive a one-time, non-refundable upfront payment of 35 million US dollars after the effectiveness of the licensing agreement. The total amount of milestone payments will not exceed 901 million US dollars, along with royalties based on the agreed percentage of net sales between both parties.

Kelun Pharmaceutical stated that the signing of this licensing agreement allows MSD to conduct research, clinical development, manufacturing, and commercialization of the authorized project on a global scale. After the drug is launched, it is expected to provide a new treatment option for cancer patients worldwide, representing Kelun Pharmaceutical's efforts in internationalizing its innovative projects.