JW Pharmaceutical has entered into a strategic partnership with China’s Gan & Lee Pharmaceuticals to secure a next-generation GLP-1 therapy, marking a significant step in its expansion into the metabolic disease treatment market.
The company announced on April 8 that it has signed an exclusive licensing agreement for “bofanglutide (GZR18),” a GLP-1 receptor agonist candidate. Under the deal, JW Pharmaceutical gains exclusive rights in South Korea for development, regulatory approval, marketing, and commercialization of the drug. Gan & Lee will provide regulatory data required for investigational new drug (IND) approval and marketing authorization, while supporting the development process.
The total deal value reaches $81.1 million, including an upfront payment of $5 million and up to $76.1 million in milestone payments tied to development, regulatory, and commercial achievements. Additional royalties based on sales have also been agreed. The milestones cover four key indications: type 2 diabetes, obesity, obstructive sleep apnea, and metabolic dysfunction–associated steatohepatitis (MASH).
Bofanglutide is a synthetic peptide-based GLP-1 receptor agonist being developed as a subcutaneous injection administered once every two weeks. It works by stimulating insulin secretion to regulate blood glucose levels while delaying gastric emptying to enhance satiety, thereby supporting weight loss.
The candidate is currently undergoing Phase 3 clinical trials in China. In a Phase 2b trial for obesity, it demonstrated an average weight reduction exceeding 17% over 30 weeks with biweekly dosing. The results suggest strong competitiveness in both efficacy and convenience compared to existing once-weekly therapies.
In the United States, the drug has also received approval from the Food and Drug Administration (FDA) to initiate Phase 2 trials for chronic weight management, with ongoing studies comparing it to established treatments.
JW Pharmaceutical aims to leverage this acquisition to strengthen its position in the rapidly expanding GLP-1-based metabolic disease market. The company plans to differentiate itself by emphasizing the convenience of biweekly dosing in a market largely dominated by weekly treatments.
The company has previously built a track record of successfully localizing global therapies in South Korea, including dyslipidemia drug Livazo, rheumatoid arthritis treatment Actemra, and hemophilia therapy Hemlibra. The latest agreement is seen as part of its broader strategy to expand its specialty pharmaceutical portfolio in metabolic diseases.
JW Pharmaceutical plans to initiate Phase 3 clinical trials in South Korea later this year for obesity and type 2 diabetes simultaneously. A company official said it aims to achieve successful commercialization based on its proven capabilities in drug development and regulatory approval, offering new treatment options for patients.
According to market research firm Grand View Research, the Asia-Pacific GLP-1 receptor agonist market is projected to grow from $5.4 billion in 2025 to $16.9 billion by 2033, representing a compound annual growth rate of approximately 14%, one of the fastest growth rates globally.
