In a press release on June 13, 2025, AstraZeneca announced its entry into a strategic research collaboration with CSPC Pharmaceuticals Group, based in Shijiazhuang City, China (1). The two companies plan to work together to advance discovery and development of novel oral candidates for multiple high-priority targets.
In the press release, AstraZeneca said these oral therapies—which include a small molecule candidate for immunological diseases—have a collective potential to treat diseases across numerous chronic indications (1).
AI platform at center stage
Key Takeaways
- AstraZeneca partners with CSPC to accelerate AI-powered small molecule drug discovery, targeting chronic diseases with novel oral therapies developed in China.
- The collaboration expands AstraZeneca's R&D footprint in China, following its $2.5 billion investment to establish a Beijing-based global innovation hub earlier in 2025.
- CSPC can receive up to $5.33 billion in milestone and sales payments, plus royalties, while AstraZeneca secures global rights to license and commercialize resulting candidates.
The new agreement calls for CSPC to conduct the research at its Shijiazhuang City campus using its artificial intelligence (AI)-driven, dual-engine efficient drug discovery platform (1). According to the release, the platform leverages the power of AI to analyze binding patterns of target proteins with existing compound molecules and carry out targeted optimization, with the end goal of selecting small molecules that are not only highly effective but also showcase excellent developability.
“This strategic research collaboration underscores our commitment to innovation to tackle chronic diseases which impact over 2 billion people globally,” Sharon Barr, AstraZeneca executive vice-president and head of BioPharmaceuticals R&D, said in the release (1). “Forming strong collaborations allows us to leverage our complementary scientific expertise to support the rapid discovery of high-quality novel therapeutic molecules to deliver the next-generation medicines.”
More AstraZeneca expansion in China
As AstraZeneca noted in the release, the partnership with CSPC further strengthens AstraZeneca’s footprint in China. The company announced in March 2025 that, as part of a strategic partnership with the Beijing Municipal Government and the Beijing Economic-Technological Development Area Administrative Office, and including agreements with biotech companies Harbour BioMed, Syneron Bio, and BioKangtai, it planned to invest $2.5 billion in Beijing in the next five years (2,3). The ultimate purpose of the investment is to establish a global strategic R&D center supporting major research and manufacturing agreements to further advance life sciences in the country.
That announcement itself came just days after AstraZeneca agreed to acquire Belgium-based EsoBiotec, a biotechnology company specializing in in-vivo cell therapies, at an initial payment price of $425 million by AstraZeneca upon the closing of the deal (4).
The financial terms of the agreement between AstraZeneca and CSPC stipulate that the latter is receiving an upfront payment of $110 million and will be eligible to receive up to $1.62 billion in potential payments for development milestones, plus an additional maximum of $3.6 billion in sales milestone payments (1). Potential single-digit royalties may also be paid, based on annual net sales of products. AstraZeneca, meanwhile, retains worldwide rights to exercise options for exclusive licenses to develop and commercialize candidates.
References
1. AstraZeneca. AstraZeneca Enters Strategic Collaboration with CSPC Pharmaceuticals Focused on AI-Enabled Research. Press Release. June 13, 2025.
2. AstraZeneca. AstraZeneca to Invest $2.5 Billion in New Global Strategic R&D Centre, Biotech Agreements and Manufacturing in Beijing. Press Release. March 21, 2025.
3. Mirasol, F. AstraZeneca Invests $2.5 Billion to Establish Global Strategic R&D Center, Support Biotech Agreements, and Boost Manufacturing in China. BioPharmInternational.com, March 24, 2025.
4. AstraZeneca. AstraZeneca to Acquire EsoBiotec to Advance Cell Therapy Ambition. Press Release. March 17, 2025.
