'Grown Up' Drug Maker Shanghai Henlius Targets Global Fight To Beat Cancer

Forbes

24-06-2025

Shanghai Henlius CEO Jason Zhu. Shanghai Henlius
Drug maker Shanghai Henlius traces its history to 1992, when four ambitious young entrepreneurs formed Fosun Group to seize burgeoning opportunities in the early days of China's economic reforms. Eyeing the rapidly growing country's healthcare needs, it created Fosun Pharmaceuticals in 2004.
Shanghai Henlius was founded by Fosun Pharma and two scientists in 2010 to develop and deliver biosimilars -- relatively affordable versions of brand-name drugs innovated elsewhere. Evolving from a research-based biotech company to more of a biopharmaceutical company that creates its own final products, Henlius went public at the Hong Kong Stock Exchange in 2019.
Fifteen years after its birth, Henlius has 'grown up,' CEO Jason Zhu recently told Forbes China. Helped particularly by an expanding portfolio of cancer drugs, Henlius's revenue climbed 6% from 2023 last year to reach a record 5.7 billion yuan. Net income in 2024 climbed by half to 820.5 million yuan – the company's second straight year of profits. Last year's total revenue was more than 60 times Henlius's total of 90 million yuan, or $12.6 million, recorded during the year of its IPO; net profit over that same period reversed from a loss of 874.8 million yuan in 2009. To date, Henlius has had six products approved for marketing in China, along with four globally. For its part, Fosun Group has evolved into a global consumer-oriented group with a strong presence in the biopharmaceutical industry.
Henlius has succeeded by combining short- and long-cycle investments, Zhu said. The Shanghai-based company is trying to balance 'low-risk, high-certainty' risks with 'high-risk, high-reward' innovation such as in antibody-drug conjugates; the latter offer exponential returns from bring high costs and complexity, he said. Henlius's success has been borne out at the stock market. Shares have recouped ground lost during Covid, and more than doubled in the past year to as much as HK$51.5.
Zhu sees more growth ahead, based on a pipeline of cancer and ophthalmologic drugs, as well as expanded international partnerships. The company 'is committed to achieving a balanced revenue structure between domestic and global markets,' Zhu said. That suggests it has a lot of room to grow: international revenue was only 14% of its total in 2024. Henlius's overseas business goal is supported by accelerating product launches in the EU, U.S., Latin America and the Asia-Pacific, expanded licensing agreements; and deepening collaboration with global partners, he said.
Henlius's gains to date are part of a boom in China's home pharmaceutical market. Spending in the world's second-most populous nation is expected to reach $126.6 billion in 2023, growing 7.8% annually, according to figures released in late 2024. Growing business helped more than four dozen mainland China healthcare industry leaders make the 2025 Forbes Billionaires List.
Zhu got into medicine based on an early interest in science, a shortage of physicians in China, and a belief that doctors can 'change the course of a person's life.' He graduated from Shanghai Medical College in July 2001, and went on to work as an internal medicine physician in Huashan Hospital in Shanghai. He later transitioned into the industry, where he held senior roles across clinical and business development, including as global vice-president of IQVIA Holdings Inc., and as the founder and chief executive officer of Shanghai PPC Biopharmaceutical Technology. Zhu first joined Henlius in January 2021 as a senior vice president and chief medical officer; he rose to president 11 months later and has been CEO since July 2023.
Henlius – which takes its name from an early founder and a Greek god – has benefitted from the sale of drugs that can treat mainstream cancers -- breast, lung, and gastrointestinal. Cancer incidence in both China and overseas is expected to rise due to gaining populations, environmental exposure and lifestyle changes, Zhu noted. China and the U.S. along account for about 40% of the world's cancer cases. Though cancer is traditionally treated through chemotherapy, radiology or surgical removal, newer biologic medicine offers a more precise approach, such as targeting the cancer cells through the body's immune system.
The global rise of cancer illustrates the universality of many diseases and why internationalization is a natural course for many pharmaceutical companies able to offer treatments, said Zhu. The marginal cost of expanding a drug to new global markets is relatively low once development is complete, but the commercial upside is exponential, he said. One treatment can be licensed as dozens of branded products globally under different distributors. Zhu believes the company's most promising pipeline drug is HLX43, a novel, cancer-fighting PD-L1 antibody-drug conjugate, Zhu said. 'HLX43 exemplifies Henlius's next-generation innovation strategy—combining immune checkpoint blockade with targeted cytotoxic delivery to enhance anti-tumor efficacy while minimizing off-target effects,' he said.
To boost its international business, Henlius will increase investment in its international commercial teams, transitioning from out-licensing to self-marketing, buoyed by innovation, Zhu said. 'The U.S. has long known for innovation, while companies in China are now better at industrialization,' says Zhu. Henlius's leader wants to 'combine innovation with this knack of industrialization. Innovation can be described as doing something abnormal. Innovation means you want to do things differently and push beyond established forms.'
Investigators and global collaborators gathered at the Henlius reception during the annual meeting ... More of the American Society of Clinical Oncology held in Chicago May 30-June 3 this year. Shanghai Henlius
To be sure, geopolitical tensions this year are hard to ignore. 'While geopolitical tensions may present uncertainties, we believe high-quality, life-saving treatments will continue to find their place globally.'
In Asia, Henlius is expanding its investment and talent; Japan is a strategic market where Henlius opened a wholly owned subsidiary this year. There, Henlius is exploring 'hybrid go-to-market' models and working to advance drug candidates to fight gastric and small cell lung cancer, among other illnesses. 'This move is part of Henlius's broader globalization strategy to expand its international footprint with end-to-end capabilities—from clinical development and regulatory filing to market access and commercialization,' Zhu said.
Emerging markets like the Middle East offer high growth and less competition, Zhu believes. In Latin America, Henlius partners with leading local companies to distribute treatments throughout the region. The company has conducted international clinical development trials in the U.S., EU, Australia, Southeast Asia, and Japan. Its commercial partnerships with over 20 global firms, including Accord, Abbott, Eurofarma, Organon, and Sandoz. Sandoz just this year agreed to pay Henlius $31 million as part of a licensing agreement that involved a biosimilar HLX13.
Shareholders investors optimistic about Zhu's leadership and Henlius's growth prospects rejected a privatization offer by Fosun Pharmaceutical earlier this year for HK$24.60 share. Does the subsequent big increase in its share price augur a new round of capital-raising? 'Henlius maintains a disciplined approach to capital strategy. While the company is currently well-capitalized, it remains open to strategic financing opportunities that could accelerate global R&D programs or support entry into new markets. Any fundraising plans would align with shareholder value creation,' Zhu said.
A physician who worked closely for years with ill patients, Zhu reflected in a personal way how business decision-making can similarly be difficult. 'We cannot do everything. Sometimes we have to say no to our heart. Every year I have to say no over 50 times. During the development process, if we're not 100% confident about identifying the right differentiators to address patient needs then we regretfully have to say, 'Sorry, I cannot move you along to the next stage.''