A scam behind the innovative medicine "Monkey Gui"

On June 17, the State Administration of Market Supervision and Administration issued the "Announcement on the Prohibition of Wildlife Transactions" issued by the three departments to stop the implementation of the "Announcement on Banning Wildlife Transactions", which was "loosened and loosened" for the previously banned wildlife transactions.

Just before this week, on June 10, the topic of "many leading pharmaceutical companies crazy monkeys" rushed to a hot search list. After all, a monkey sold for 160,000 yuan, which has far exceeded the awareness of ordinary people.

After the "Announcement" of the aforementioned three departments was issued, the documents less than 600 words caused the turbulence of the capital market. On June 20, the stock price of "Monkey Mao" Zhaoyan New Medicine dived, and "lying down" at a limit on the limit.

How can monkey prices rise up, how will it fall?

Due to stop import and export, the price of monkey prices has soared

Investing in a building, it is better to raise monkeys.

In June 2018, the China Food and Drug Inspection Research Institute issued the "Announcement of the Bidding for the Crab Monkey Purchasing Project for Experimental Crab Monkey". At this time

In December 2019, the Chinese Inspection Institute again issued relevant announcements, the bidding price was 30,000 yuan per monkey;

In March 2021, the purchase of crab monkeys was priced at 65,500 yuan/piece; March 2022, 132,500 yuan/piece ...

Although you can also use experimental rats, experimental pigs, etc., the experimental monkeys are uniquely clinically "grace" with the characteristics and genetic characteristics of human beings. Crab monkeys are one of the most commonly used species for animal experiments.

Experimental monkeys increased their heads without tailing, and innovative pharmaceutical companies were naturally anxious. You know, the necessary part of new drug research and development is to test on animal models. Monkey prices have continued to rise, and the cost of research and development of new drugs is getting higher and higher.

Why does monkey price rise?

On the one hand, with the rise of the Chinese biomedical industry, the hotness of innovative medicines has increased the demand of experimental monkeys; on the other hand, policy changes cut off the flow of monkey markets at home and abroad.

In 2020, the new crown epidemic broke out in Wuhan. At that time, the Wuhan South Seafood market with poultry and spectacular Wuhan became the target. At the end of January, the General Administration of Market Supervision, the Ministry of Agriculture and Rural Affairs and the State Forestry Bureau jointly issued the "Announcement on the Prohibition of Wildlife Transactions".

This announcement is very brief, but the words "strictly prohibit wildlife spreading and trafficking and trafficking", "It is strictly forbidden for any form of wildlife trading activities" and other words, the import and export of wild animals began to stagnate.

Once the circulation is stopped, monopoly and hype follow.

In the stagnant animal trading, the experimental monkey was included. In the case of supplementing without foreign wild monkeys, domestic test monkeys began to gradually break away from the actual value of the monkey itself.

This also means that the high price at this time is no longer caused by supply and demand.

On January 5, 2020, the China Experimental Spiritual Aquaculture Development Association submitted a "Experimental Monkey Census Revolution in 2020", which submitted the object of the National Forestry and Grassland Bureau of the Dynamics and Plant. The text contains two details:

1. As of the end of 2018, the amount of crab and monkeys for experiments was 211,1171 (34,714 in 2018); the total amount of macaques for experiments was 28,806 (2640 sales in 2018). It has reached a stable large -scale breeding population.

2. The unstable factors and problems between the industry are becoming more and more prominent. It is mainly manifested in the vicious competition between enterprises, the prices of the middle businessmen, and reporting false data from individual breeding enterprises.

Combining the comparison of the experimental monkeys and the sales volume, and the time of the "Instructions", it is speculated that as of the end of 2019, the supply of domestic monkeys is still relatively stable.

After the immortality is forbidden to import and exit, the normal circulation pattern is broken, and the price of monkeys starts to float.

Capital control resources, exacerbate supply and demand imbalances

In August 2021, the Shanghai Greening and Municipal Bureau of Rong and the Municipal Capital Administration responded to the "Suggestions on the Supply of the Municipal Non -Spiritual and Long Experimental Animals" proposed by the people's congress representatives. In addition In addition to the reasons such as monkeys and other reasons, "some large enterprises (including foreign -funded enterprises) have been deployed in advance, and limited resources are controlled by acquiring shares and other forms to further exacerbate supply and demand imbalances."

At the same time, the Shanghai Greening and Municipal Rong Administration also made it clear in the response that domestic experimental monkeys were lacking in a structural shortage to some extent. The suspension of the examination and approval of import and export monkeys is not the main reason for the lack of experimental monkeys and the lack of domestic experimental monkeys.

In addition, when wild animal trade was not prohibited before, my country's imported experimental monkeys were mainly used for regulatory sources. Export experiments monkeys were mostly used for testing, and 2/3 of domestic animal experiment monkeys were used for exports, which was far greater than imports than imports. quantity. At present, the number of domestic experimental monkeys is about 300,000. Even if the above -mentioned structural lack is considered, it can basically meet the needs of population recovery.

On the second half of 2021, after the CSRC rejected the listing request of the label with the "innovative drug" label with the "innovative drug" label in the CSRC, the innovative pharmaceutical market began to be sluggish. In addition, the turbulence of the 2022 international situation, The financing overview of the pharmaceutical market has not improved.

According to medical cube data, in the first five months of 2022, there were 492 financing events in the field of medical and health, a year -on -year decrease of 45.8%, and a decrease of 44.7%from the previous month. The investment amount was 54.8 billion yuan, a decrease of 37.9%year -on -year, and a decrease of 50.9%month -on -month. The secondary market is even more tragic. Since the third quarter of 2021 has reduced financing to the lowest point, it has continued to slug. The financing side of the financing side is visible to the naked eye, transmitted to the R & D side, and naturally it is the less project and the decrease in R & D demand. Correspondingly, the demand for experiments should also be gradually decreased.

Paradoxically, as the demand for research and development of innovative drugs at the same time has decreased, the price of experiments still rises. What happened behind this?

The answer points to the "control of limited resources" mentioned by the Shanghai Greening and Municipal Rong Administration. This kind of control does not come from pharmaceutical companies, but CRO companies that provide clinical trial services.

At the end of March 2021, Zhao Yan's new medicine was submitted to the 2020 annual report. The annual report pointed out that "ownsing long -term animal model resources or technology will win market initiative and can even be monopolized as a strategic resource."

Zhao Yan's new medicine not only dared to say so in the financial report, but also did this. In June of this year, Zhaoyan New Pharmaceutical announced that it would acquire Guangxi Weimei Biological and Yingmao Biological Bio, Yunnan at a price of over 1.8 billion yuan.

On the occasion of Zhao Yan's two announcements, the "many leading pharmaceutical companies crazy monkey" rushed to the hot search of major platforms.

Supply and demand restructuring, pharmaceutical companies may reduce burden

The acquisition of the monkey farm is not news in the CRO industry.

Yaoming Kant acquired the Chunsheng Monkey Farm in Guangdong, and Kang Longhua acquired Zhaoqing Venture. Although CRO said that monkey hoarding is only for its own use, high acquisition and operating costs have filtered out small companies. Experimental monkey resources are concentrated in the hands of a few CROs. This resource distribution naturally exacerbates the price of monkey prices.

In addition to being a strategic resource reserve, another major reason for many CRO companies prefer monkeys is to beautify the annual profits with biological asset premiums.

Take Zhaoyan's new medicine as an example. In 2019, the fair value returns brought by biological assets were RMB 113 million; in 2020, it was 55 million yuan; and in 2021, it was 125 million yuan. This rising fair value return is due to the rise in the unit price of experiments.

Under the occlusion market environment of exports and exports, companies holding monkeys are not worried about eating and drinking.

But now, the current situation has changed. On June 17, the State Administration of Market Supervision and Administration issued the "Announcement on the Prohibition of Wildlife Transactions" for the suspension of the implementation of the three departments' announcement, allowing wildlife transactions, which means that the domestic experimental animal market has begun to integrate into the entire global market. Under the low cost impact of Southeast Asia, the pricing power of experiments is no longer determined by a few companies.

For the domestic experimental animal industry, the "price regression value" node appeared. Especially Zhao Yan's new medicine, such as the accumulation of a large number of high -priced experiments, obtained high fair value, and rising valuations will re -recognize themselves in large markets in the global market.

The innovative drug industry that is "kidnapped" by monkeys can also loosen the pockets.

Writing | Nicotinamide

Edit ｜ Jiang Yun Jia Ting

Operation | Valley

- END -