Hutchmed, a commercial‑stage biopharmaceutical company, has entered into two agreements to divest its 45% equity interest in Shanghai Hutchison Pharmaceuticals Limited (SHPL) for approximately $608 million (RMB 4,478 million) in cash, to GP Health Service Capital Co., Ltd (GP Health Service Capital) and Shanghai Pharmaceuticals Holding Co., Ltd. (Shanghai Pharma).

These transactions are expected to enable Hutchmed to focus on its core business of discovering, developing and commercialising novel therapies for the treatment of cancers and immunological diseases, including advancing its next-generation antibody-targeted-therapy conjugate programmes.

Hutchmed plans to invest the proceeds from these transactions to further develop its internal pipeline and drive its core business strategy forward. This pipeline and strategy includes its next-generation antibody drug conjugate (ADC) platform, which leverages the companies’ extensive knowledge from pursuing oncological pathways and proven expertise in small molecule targeted therapeutics. By combining antibodies with targeted therapeutics instead of cytotoxins, these antibody-targeted therapy conjugates (ATTCs) offer dual mechanisms for addressing a target.