(Yicai Global) Dec. 26 -- Shares of Shanghai Pharmaceuticals Holding rose sharply today after the Chinese firm announced it had gained exclusive import and distribution rights to Ensitrelvir, an anti-Covid-19 oral drug developed by a Japanese company.

Shanghai Pharmaceuticals [SHA: 601607] shares closed up 4.54 percent at CNY18.87 (USD2.7) today.

The Chinese medical equipment and drug selling giant’s wholly-owned subsidiary Shanghai Pharmaceutical will become the exclusive importer and sales agent on the Chinese mainland for Ensitrelvir developed by Japan’s Shionogi, the parent firm announced on late Dec. 23. The partnership will last for two years.

Ensitrelvir is an oral small-molecule antiviral drug, which was approved by Japan’s Ministry of Health, Labor and Welfare for emergency use in the treatment of Covid-19 infection on Nov. 22, the announcement said. The firm has applied for emergency-use authorization for the drug from Chinese regulators.

The drug can significantly reduce the virus load in infected persons and enable those with mild to moderate symptoms to recover in a shorter period of time after being infected with the omicron strain of the coronavirus, the firm noted.

Shanghai Pharma penned a strategic framework partnership agreement with a Chinese subsidiary of Shionogi on Dec. 23 to explore the feasibility of making generic drugs for the medication on the Chinese mainland and strategies to expand the marketing network for the drug and raise its Chinese mainland market share, the announcement said.

The partnership, however, faces some uncertainties as the drug is still awaiting approval from Chinese regulators to enter the Chinese mainland market, it added.

Editor: Peter Thomas