Regeneron's $14.47 Billion Trading Day Leads to Strategic Obesity Drug Deal

On June 2, 2025, Regeneron Pharmaceuticals, Inc. (REGN) saw a trading volume of $14.47 billion, marking a 53.74% decrease from the previous day. The stock closed with a slight increase of 0.11%.

Regeneron has expanded its clinical-stage obesity portfolio through a strategic in-licensing agreement with Hansoh Pharmaceuticals Group Company Limited. This deal grants Regeneron exclusive clinical development and commercial rights outside of China for HS-20094, a dual GLP-1/GIP receptor agonist currently in Phase 3 testing. HS-20094 has shown promising efficacy and safety data, with a profile similar to the only FDA-approved GLP-1/GIP receptor agonist. The agreement includes an upfront payment of $80 million to Hansoh, with potential additional payments of up to $1.93 billion for achieving development, regulatory, and sales milestones. Future royalties for global net sales outside of the designated territories would be in the low double digits.

This acquisition aligns with Regeneron's commitment to advancing better obesity treatments by enhancing the quality of weight loss. The company aims to address significant unmet needs, including sustaining weight loss and maintaining muscle mass over time. The addition of HS-20094 to Regeneron's pipeline will enable the study of combinations with proprietary drugs and drug candidates to holistically address muscle loss and other comorbidities of obesity, such as cardiovascular diseases, diabetes, and liver conditions. This development is part of Regeneron's broader strategy to support quality, sustained weight loss and the associated long-term health benefits.

Regeneron's ongoing Phase 2 COURAGE study, which investigates the addition of trevogrumab, a GDF8 antibody, to semaglutide with and without garetosmab, an anti-activin antibody, further underscores the company's focus on muscle-sparing weight loss. Interim data from this study was announced earlier, highlighting Regeneron's innovative approach to obesity treatment. The agreement with Hansoh is subject to customary closing conditions, including regulatory agency clearances under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 in the United States.