Fosun Pharma's (SHA: 600196; HK: 02196) in-licensed COVID-19 vaccine reported 90% efficacy in US-EU Phase III tests, which were conducted by Pfizer (NYSE: PFE) and Germany's BioNTech (NSDQ: BNTX). In March, Fosun acquired China rights to the vaccine from Germany's BioNTech in a $135 million agreement. Pfizer acquired US rights soon after. Pfizer said it would apply for US Emergency Use approval in about three weeks. To acquire the vaccine rights, Fosun made a $50 million investment in BioNTech (which has since tripled) and will pay up to $85 million in milestones.

Fosun expects it will need to conduct only a small bridging trial to secure China approval of the vaccine. The company's shares rose 14% following the news. Originally, Fosun planned to produce the vaccine in its own facilities for greater China use, but BioNTech recently said it would supply the vaccine to Fosun.

“This is a victory for science, a victory for global cooperation … it is a landmark moment marking the light at the end of the tunnel in our fight against the novel coronavirus,” said Guo Guangchang, the chairman of Fosun Pharma's parent, the conglomerate Fosun International in a blog. “Currently, Fosun Phama is communicating with regulators, and is striving to be able to start bridging clinical trials and to launch BNT162b2 in mainland China as soon as possible, subject to regulatory approvals."

The Pfizer-BioNTech Phase III trial, which started in July, has so far enrolled 43,500 patients, dosing each patient twice with a one month interval between the two. In three weeks, all of the 43,500 enrollees will have completed two months after the second dose. If no serious adverse effects surface in that time, Pfizer will file for approval.

After the vaccine is approved in China, Fosun Pharma plans to price it with a profit margin that will allow widespread use via government procurement, while sales to the private sector will be priced based on “customer value,” according to Fosun Pharma’s chairman and CEO, Wu Yifang, speaking to analysts.

See our other articles on Fosun Pharma, Pfizer and BioNTech.

Disclosure: none.

 Fosun Pharma's in-licensed COVID-19 vaccine reported 90% efficacy in US-EU Phase III tests, which were conducted by Pfizer and Germany's BioNTech.