00:00Eric, could you have you with us? Yes. You started strong. You started with a deal to kick off 2026. Any more that can be expected for the rest of the year? I think definitely last year was our first year of being M&A. I think it's like we have some reports from you from CNN about it's like starting a new era on actually big pharma in China M&Aing and buying out some of the local biotechs or firms.
00:30So I think we did start with it and then I think we've been growing as we are making deals as well as seeking out even more deals. So I think it's like currently we're one of the pharmaceutical companies that has the best deal flow in terms of early stage, late stage, all different kinds in terms of the healthcare or in particular pharmaceutical. So we have those deal flows on our table annually I think it's over 200 deals on the pile.
01:00So definitely we still have a lot of pipeline but we are it is a hideous process but we do think we make good decisions on it. So this year definitely is a very good start in terms of like nucleic acids, SRNA platform.
01:17We definitely think it's way undervalued but having it now I think we can bring a lot of new therapies in some of the targets that we're finding small small molecules can SRNA solving some of the issues that might be having three months dosage but prolong it to six months to even a year.
01:34How much clarity do you have for 2026? How many more deals do you think we can expect and link to that? How deep is your pocket?
01:41I think that is a big question. I think that is a big question. We have to see as time goes but definitely there are deals coming and then we are anticipating not only M&As but also out licensing.
01:52So we have a lot of good molecules interested by big pharmas by big pharmas by M&Cs and then we are also very open space. We don't necessarily have to do a license to M&Cs but also maybe partnering with funds to fund the initiative of clinical trials overseas as well as possibility of carrying out ourselves.
02:16So I think for each different drug it's a very different approach because some drug I think is best for M&C acquisition and some are maybe to develop yourself. In terms of pocket I think right now we're cash rich as well. I think we're 20 billion plus in terms of HKD and then for net cash we have over 10 billion, 15 billion.
02:44So looking to deploy all of that perhaps this year or?
02:48I think we never have a quota of how much we have to deploy or how much we have to spend. Starting from three years ago actually that was the time when I said it's like instead of giving out much more dividends we maintain what we're giving and actually we've been paying more.
03:07But we do also have a lot of financial returns through investments. So it's like we want to keep that pocket. So when the real opportunity arises like Lenovo last year it's a it's a one billion USD acquisition. So not easy but we finish it since we start in two months to two months time. So that's the speed that we're looking at.
03:27And then we don't have a number that we have to deploy but definitely will grasp every good deal that we think we see.
03:34China is now leading in the biopharma space. What do you think it has going for it that perhaps other countries like the U.S. may be lagging behind.
03:43Definitely I think there's a couple of numbers that China is catching up with soaring in the past decade from five percent of the total clinical trial numbers to right now register on I think one third of global trials.
03:57So that's definitely a huge jump and then from deals acquisition for a licensing last year I think it's a hundred and thirty billion USD plus steel size. So definitely that's huge of in terms of total deal.
04:12I think it's coming out from like a talent dividends for the past years and how Chinese government is encouraging innovation is really giving out directions and then and then is giving out a speed as well.
04:28So I think the other reason is for because of the population basis like Chinese just have to do things that much faster and then more efficient way to survive.
04:40So in the end it comes to survival. So if we don't do it fast you lose you die. Right. So it's like we have to keep up the speed and in a cost efficient way so that we provide goods with good quality.
04:57So right now it's like I think that's also going to global how viewing China Chinese standards and becoming more and more acceptable even in terms of data as well.
05:06When do you think we'll see a multinational biopharma company a Chinese multinational biopharma company.
05:12Well I do hope it's us in the future. I think I think there's a there's a handful of good pharmaceutical company or biotech that's in very good shape right now.
05:22And then definitely have have the good cards to to become or the potential to become a hundred billion market cap company.
05:32And then definitely I think we're one of them. But I would say it's like we are with great potential because our company is young or the leadership right now. We are young. Yeah.
05:45Yeah. So I think you really need to bring out a long term vision or to keep up with some long term goals to to step up till there.
05:55So right now if we see is like if three ways that we want you access to that point.
06:00Number one is continuous steady development of your current market.
06:07So we're still very trying to focus in terms of sales revenue in terms of market commercialization.
06:12So we see that to be a steady growth with steady policy encouraging.
06:19And then number two with a big jump definitely I think continuous M&A.
06:25So with Ninova with Heziya we actually have much stronger first in class innovative oncology large molecule oncology pipeline as well as SRNA platforms.
06:36And then we do have other surprises with the M&A.
06:40So I think that's definitely deepening our pipeline and how we we see China China market as well as global market.
06:47And number three is definitely out licensing.
06:49So right now we're trying to focus and then we have a lack of strength in terms of accessing global distribution.
06:56Right. So definitely it is one way to licensing out to enjoy the global market and some royalties and upfront as well.
07:03And then as well as to generate more cash flow as we do our license.
07:07And then if there is one more to add on I think it's on singularity one big asset.
07:16Or one big drug something like PD-1 and it maybe also is like PD-3-4 that the Verona deal of 10 Berlin USC.
07:25So I think this kind of like golden nugget that I called direct translation from Chinese.
07:30I think it's one of the shortcut that may bring Chinese China company or any developing country.
07:39biotech or pharmaceutical company from like a country standard to a global standard.
07:45You obviously have big ambitions. Where do you see Sanobio Pharma in five years.
07:50Definitely. I think we'll keep on doing what we're doing.
07:55Our strategy I think is very clear cut. We're very focused in the areas that we're now in oncology.
08:01hepatitis, surgery, analgestics, respiratory and we're looking into right now because of the M&A's and then cardiovascular as well as metabolism as well as immunology and some CNS.
08:16So with this I think we continue to focus on the areas that we were in and where innovative is driving because some of the TAs before we see less of a breakthrough.
08:31So I think some of the TAs is just maintained and then the others I think is like how we really develop it through it.
08:36So in the next couple of years I think it's complete on what I've just said.
08:41Steady on your current strategy operation and then keep on delivering.
08:48And number two is like opportunities on M&A's, out licensings and partnership.
08:55So we did have two years ago a partnership with Waring and Ingraham that we're responsible for their entire oncology pipeline commercialization and medical in Chinese area in China.
09:09And then we are looking for more and more of these collaborations with M&Cs and also with some of the M&Cs in terms of incubation or funds in incubation to have an earlier angle in the very early funnel.
09:24So partnerships is part of the strategy going forward?
09:28Yes, definitely. So not only in China for China market but also on other different countries.
09:35So if we enter a new country for commercialization definitely it's like finding a partner rather than doing ourselves.
09:42So not only in the US, but also in the US are a few other countries.
09:44So they are not only in China, they are not only in Japan but also in the US are a few other countries.
09:46And online countries are the only countries.
09:47They are not only in Japan, they are not only in the US, but in China.
09:48But if you do not.
09:49So that's a very interesting topic.
09:50So I think they are only one of the most important things to make that our customers Day in the US
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