A Net Worth of Ten Billion, the Largest Overseas Licensing Contract in History

Now that the choice had been made, the bidding process moved swiftly.

Three days later, the bidding conference was successfully held.

The major pharmaceutical companies had already learned the news through their own channels.

With unspoken understanding, they submitted their bids and quietly waited for the final result.

But they had not returned empty-handed. They also signed another contract with Sanqing Pharmaceutical, selling off all the discarded drug formulas they had brought at bundled discount prices.

No company had many discarded formulas. Domestic pharmaceutical firms generally had around five or six, while multinational giants had only a dozen or so. Most had been carefully selected—formulas from which no further potential could possibly be squeezed.

Domestic companies generally had relatively low R&D standards, lagging nearly twenty years behind overseas firms. There were very few new drugs among their discarded formulas; most were improved formulations.

They knew their own limits and accepted a friendly price of one million, mainly hoping to build a good relationship with Sanqing Pharmaceutical for future cooperation in the domestic market.

After all, everyone knew full well that foreign pharmaceutical companies would be the main players in this bidding process. Sanqing's primary goal was still to sell overseas licenses and earn back its costs as soon as possible.

Once Sanqing began developing the domestic market, there would be plenty of opportunities to discuss mutual licensing and cooperation.

After all, Sanqing had only begun to make a name for itself with its anticancer drugs. In other fields, it still could not compare with some of the stronger major domestic pharmaceutical companies.

Mutual licensing and cooperation were extremely common among pharmaceutical companies, especially domestic ones. Each had its own specialty, and by joining forces to complement one another, they could continuously expand their markets and strengthen themselves.

The multinational giants also bundled and sold their discarded formulas to Sanqing. Their R&D capabilities were among the best in the world, and they had even greater confidence in their discarded formulas. They all believed that, given Sanqing's R&D standards, it would be absolutely impossible for it to find any other applications in them.

In short, Wei Kang's warehouse of discarded drug formulas was now packed to the brim.

Several days later, Sanqing Pharmaceutical's conference hall was decorated once again.

A red banner hung high overhead, reading: "Sanqing Pharmaceutical and Pfizer Inc. Overseas Licensing Cooperation Signing Ceremony."

Wei Kang and Pfizer Inc.'s CEO, who had made a special trip over, signed the contract. The two exchanged signed copies and posed for photographs.

The reporters' flashbulbs flickered nonstop, capturing this historic occasion.

Gao Tuyu, a key municipal leader, was also present. This time, Director Xie from the municipal Drug Administration Bureau could only obediently stand off to the side with Andre.

A cooperation project of this scale had originally drawn the attention of provincial leaders, but time was short, so only municipal leaders had attended. Still, they had brought the cordial regards of the provincial leadership to demonstrate the importance attached to the matter.

Gao Tuyu warmly shook Wei Kang's hand, his smile especially kind. "President Wei, Sanqing Pharmaceutical has not only brought honor to the city, but has also attracted the province's attention. Recently, the city has been responding to the national call to actively support the development of high-tech enterprises. You've truly brought us a tremendous surprise."

"And this project is exceptionally important as well. Three billion US dollars—more than twenty billion yuan, just like that."

Wei Kang smiled. "We still have to thank all the leaders for your support. Besides, it won't be that much after taxes."

Gao Tuyu laughed heartily and looked around. "President Wei truly is an entrepreneur of the people. The first thing he thinks of after signing such a major contract is paying taxes."

The other leaders around them also smiled approvingly.

Gao Tuyu patted Wei Kang on the shoulder and said with a beaming smile, "All right, then let me give you another piece of good news. Last week, Director Xie from the Drug Administration Bureau helped you apply for an annual project under the National Major New Drug Development Special Project. It should have reached the central bureau by now, and I don't think there'll be any problem."

"Once it passes, you'll be eligible for a series of tax exemptions and preferential policies this year, as well as provincial project funding. For completing Phase I, II, and III clinical research for new drugs, subsidies of up to one million, two million, and three million yuan will be granted respectively."

"Although President Wei is now flush with cash and may not particularly need this funding, the tax incentives are quite substantial. I'm sure they'll still satisfy you."

He then added with great concern, "President Wei, the province places great importance on and strongly supports your Sanqing Pharmaceutical. Don't move the company headquarters."

"Now that you have ample funds, you'll surely need to renovate and expand production. Kun City still has abundant land resources, and the prices are very favorable. I see several suitable plots near the industrial park, not far from your company. If President Wei needs industrial land, feel free to ask."

Once Sanqing Pharmaceutical's new drugs entered production, they would generate a steady stream of tax revenue and drive local employment. As the company grew stronger, it could further promote the development of Kun City's pharmaceutical industry. These were all things Gao Tuyu valued greatly.

After all, Kun City was merely a third- or fourth-tier small city, inferior in every respect to the nearby first- and second-tier cities. He was afraid Wei Kang would move the headquarters to Sea City or Su City, so he naturally had to work hard to win him over and firmly tie Sanqing, this hen that laid golden eggs, to Kun City's development train.

Wei Kang smiled and nodded as he mingled with the crowd.

Three billion US dollars was indeed an enormous sum, but according to the agreement, it would be paid in three installments: a five-hundred-million-dollar upfront payment, followed by two and a half billion dollars in milestone payments after registration approval and the start of sales.

So, in reality, he would receive only five hundred million US dollars at the outset. He would have to wait until US FDA registration was successfully approved before receiving the remaining funds.

If subsequent clinical trials revealed any serious adverse reactions that prevented the drug from meeting the US FDA's stringent requirements, then not only would the remaining money be lost, but all of the money already paid would have to be returned.

This was a safeguard Pfizer Inc. had added for itself. After all, the new drug had not been in clinical trials for very long, and they were not completely reassured yet.

Wei Kang had agreed to Pfizer Inc.'s condition because he could guarantee that this drug would never have any serious adverse reactions.

The representatives of the other pharmaceutical companies at the venue all looked enviously at Wei Kang and Pfizer's CEO.

An overseas licensing cooperation agreement worth three billion US dollars—and this was only the beginning.

It was likely the largest licensing deal in the country to date.

They wanted such a sky-high licensing deal too.

Whether licensing something out or purchasing a license, it was enough to make anyone green with envy.

Pfizer Inc. was one thing, considering it was already a multinational giant.

But Wei Kang was only a young man in his twenties.

In the blink of an eye, his net worth had reached tens of billions.

He had gone from being the small owner of a pharmaceutical company on the verge of bankruptcy to an instant tycoon.

All because of an anticancer formula inspired by a discarded drug formula.

He was practically a legend.

Just as legendary as Pfizer's Evanco.

Moreover, Wei Kang was Sanqing Pharmaceutical's sole major shareholder.

Although his net worth was still quite a way from the title of richest person in the pharmaceutical industry.

This was pure cash flow, far stronger than many listed companies drowning in debt and earning only tens of millions in profit.

Not to mention the immense fortune that would come rolling in once the anticancer drug went into production.

In just a few years, Wei Kang's name would surely appear on the domestic wealth rankings.

The media grew excited as if they'd been injected with adrenaline, swarming around Wei Kang and bombarding him with questions.

President Wei, were your grades good when you were young?

President Wei, did you win any awards in middle school?

President Wei, tell us about your college years. Did you spend every day with your head buried in books?

President Wei, are you single now? How many girlfriends have you had?

President Wei, how did your parents' passing affect you?

When Wei Kang heard the last question, his face darkened. He silently wrote that reporter's name down in his little notebook.

Such an insensitive media outlet had to be blacklisted. He never wanted to see them again.