“We’re very excited about the prospects of speeding up market uptake of ALK’s evidence-based AIT products in China. We partner for strength, and GenSci has a well-proven track record of navigating this important market and intends to deploy significant resources, including a sizeable sales force, to succeed with our AIT products. We see a strong strategic fit and look forward to co-operating with GenSci to benefit even more patients and healthcare professionals,” says ALK’s CEO Peter Halling.

Under the agreement, GenSci is granted exclusive rights to ALK’s injectable Alutard HDM product, skin prick tests, and the ACARIZAX SLIT-tablet in Mainland China until the end of 2039. GenSci will incur all costs related to marketing and sales and the majority of costs for the remaining clinical development and registration of the products, while ALK will be responsible for production and supply.

GenSci will take over sales and marketing activities of Alutard immediately and add ACARIZAX to the portfolio upon regulatory approval of the tablet. ALK and GenSci will co-operate to finalise the ongoing clinical development to facilitate the approval of ACARIZAX for adults and children.

GenSci is expected to take over the majority of ALK’s organisation in China, whereas ALK will maintain a small local organisation to support the partnership.

In addition, ALK and GenSci plan to explore collaboration on innovation for other allergic diseases, with GenSci focusing on the Chinese market and ALK targeting markets outside China, leveraging both parties’ technology and commercial platforms. The parties have agreed on a reciprocal right of first negotiation for related R&D projects, which could further support ALK’s strategic ambitions of building additional revenue streams through innovation and partnerships.

Terms and financial implications            

Under the terms of the partnership, effective 1 October 2025, ALK will supply Alutard and ACARIZAX products to GenSci at agreed transfer prices reflecting a profit on cost of manufacturing.

ALK will receive an upfront payment of DKK ~245 million from GenSci and is further eligible for DKK ~300 million in milestone payments related to regulatory progress of ACARIZAX for use in adults and children, expected during 2028-30. Additionally, ALK may receive commercial milestone payments of up to DKK ~780 million, subject to future in-market sales in Mainland China. All upfront and milestone payments will be recognized as revenue over the partnership’s expected duration.  

During a short-term transition period, ALK will continue to recognise sales from Alutard based on the current import and distribution setup and will pay GenSci a service fee for handling the sales and marketing activities.