November 6, 2023 This morning, the ninth round of national centralized drug procurement was opened for bidding in Shanghai. Our company’s ophthalmic product, Diquafosol Sodium Eye Drops (Hui Liang), was among those submitted. ^@ ) Successfully won the bid. This centralized procurement... It involves 42 types of medications, covering 11 major therapeutic categories including hypertension, diabetes, anti-tumor, anti-infection, gastrointestinal diseases, and cardiovascular and cerebrovascular diseases. Among them, a total of seven companies participated in the bidding for the ophthalmic product, dexamethasone sodium eye drops, including the original research manufacturer Santen, as well as Yangtze River, Guangdong ZhongSheng, Qilu, and Shenyang. Well-known domestic pharmaceutical companies such as Xingqi and Chengdu Shengdi were also on the list. Upon the announcement of the results, our company successfully won the bid at fourth place, with the designated supply regions being Shandong, Tianjin, Gansu, Inner Mongolia, Hainan, and Guizhou.

Diquafos sodium As a... A novel mechanism-based therapeutic for dry eye disease has experienced rapid growth in recent years, becoming a blockbuster product with sales exceeding 100 million yuan. This drug is a P2Y2 receptor agonist that acts on the P2Y2 receptors located on the conjunctival epithelial and goblet cell membranes. By increasing intracellular calcium ion concentrations, it promotes the secretion of both water and mucin, bringing the tear film back to a near-normal state in both quality and quantity. This not only enhances the eye’s natural moisturizing capacity but also helps repair damage to the corneal and conjunctival epithelium, thereby alleviating dry-eye symptoms more effectively. Diquafosol sodium eye drops were originally developed by Santen Pharmaceutical in Japan and were first imported into China in October 2017. For several consecutive years, they have maintained a dominant position in the Chinese market. With the conclusion of this round of centralized procurement, the competitive landscape of the domestic market for this product is set to undergo significant changes.

Winning the bid for the ninth batch of national centralized procurement is of great significance to the company’s development. This is the first product that NORTHLAND, as the marketing authorization holder of a pharmaceutical product, has won in a centralized procurement bid. Even more importantly, The procurement cycle for the ninth batch of nationally centralized drug procurement is four years—the longest procurement cycle since the national organization of centralized drug procurement began. This provides a stable channel for product sales and enables companies to plan their production capacity more effectively, thereby fostering... Stable sales revenue. The company will take this as a starting point to actively engage in academic and marketing promotion efforts. While ensuring the supply of pharmaceutical products in the selected regions, the company will also strive to expand into the out-of-hospital market, promoting and establishing its corporate and product brands. At the same time, leveraging the MAH system and capitalizing on the Group’s resource advantages, the company will entrust its subsidiary, Beijing Huonland Pharmaceutical Co., Ltd., with manufacturing, thereby maximizing operational efficiency.

As of now, our group company has had 7 ophthalmic products approved, two of which have won bids in the national centralized procurement. Additionally, several more products are currently under development, covering a wide range of indications including dry eye syndrome, glaucoma, anti-allergy treatments, antibacterial agents, and irrigation solutions for ophthalmic surgeries. The company will continue to invest heavily in the ophthalmology sector, enhancing its competitiveness in this field. Meanwhile, through the commercialization of ophthalmic products, we will further strengthen our sales network and team, laying a solid foundation for the commercialization of innovative biological drugs.