Novo Nordisk has entered into a licensing agreement with Hengrui Pharma for HRS-1596, a Phase 1-ready oral drug candidate that targets both GLP-1 and GIP receptors.
Under the agreement, Novo Nordisk will receive exclusive rights to develop, manufacture and commercialize HRS-1596 worldwide, except for mainland China, Hong Kong, Macao and Taiwan. The deal could be worth up to $2.6 billion, depending on development, regulatory and commercial milestones.
The agreement includes a $300 million upfront payment to Hengrui Pharma. Hengrui is also eligible to receive royalties based on net sales of HRS-1596 in the licensed markets.
HRS-1596 is a dual GLP-1R and GIPR agonist being developed for metabolic diseases including obesity and type 2 diabetes. The drug is designed to work through several mechanisms, including reducing appetite, increasing insulin secretion and improving insulin sensitivity.
One of the key features of HRS-1596 is its potential for once-weekly oral dosing. If successful in clinical development, the approach could offer a more convenient option compared with treatments that require more frequent dosing or injection.
Hengrui Pharma has received approval in China to begin Phase 1 clinical trials of HRS-1596 in weight management and type 2 diabetes. The clinical studies are expected to provide early data on the drug’s safety, tolerability and potential effects on weight and blood glucose control.
Martin Holst Lange, executive vice president of Research & Development and chief scientific officer at Novo Nordisk, said the company is looking to expand its oral peptide pipeline across obesity, diabetes and other cardiometabolic diseases. He added that HRS-1596 could help improve convenience for patients.
Hengrui Pharma Chief Strategy Officer Frank Jiang said the collaboration combines Hengrui’s drug discovery capabilities with Novo Nordisk’s experience in GLP-1 therapies and obesity care.
The agreement is subject to U.S. antitrust clearance under the Hart-Scott-Rodino Antitrust Improvements Act and other customary closing conditions. The transaction is expected to close in the fourth quarter of 2026.
If clinical development is successful, HRS-1596 could add another oral option to the growing pipeline of GLP-1-based treatments for obesity and type 2 diabetes.