AstraZeneca's $18.5B Bet on Monthly Weight Loss Injections
AstraZeneca has struck a major deal with China's CSPC Pharmaceutical Group to develop new weight loss and diabetes treatments. The agreement, valued at up to $18.5 billion, gives AstraZeneca access to cutting-edge weight watchers technology. Nearly 3 billion people worldwide are affected by obesity or overweight conditions, according to the company's data.
The partnership centres on CSPC's once-a-month injection technology, which AstraZeneca will use to create more convenient weight management drugs. Current treatments, such as Mounjaro, Ozempic, and Wegovy, require frequent dosing. AstraZeneca gains exclusive global rights to this weight watchers technology outside China, as confirmed in a licensing agreement announced on 21 January 2025.
AstraZeneca will take on eight existing weight loss programmes and collaborate on four new drug projects with CSPC. The deal includes an upfront payment of $1.2 billion, with potential additional payments of up to $17.3 billion tied to development and sales milestones. The company also benefits from CSPC's AI-powered peptide research platform.
Sharon Barr, AstraZeneca's executive vice president of R&D, called the collaboration transformative for the firm's weight watchers portfolio. Dongchen Cai, CSPC's chairman, described it as a 'win-win' that will bring next-generation obesity treatments to market.
The agreement positions AstraZeneca to compete in the rapidly expanding weight loss drug market. With CSPC's technology, the company aims to simplify treatment regimens for millions of patients. The first drugs from this partnership could enter clinical trials in the coming years.
