3SBio Inc (HKEX: 1530), a fully-integrated biotechnology company in China, has collaborated with Taiwan-based Taiwan Liposome Company Ltd (Nasdaq: TLC)( TWO: 4152).

It was reported yesterday that the collaboration is aimed at commercialising in mainland China, two liposomal products using Taiwan Liposome Company Ltd's proprietary NanoX technology platform in the therapeutic areas of oncology and severe infectious diseases.

Under this partnerships, both firms will cooperate to obtain regulatory approvals in mainland China, and TLC will use its commercial-scale manufacturing capabilities to provide the two liposomal products for 3SBio to commercialise in mainland China. Both firms also agreed to further collaboration in researching and developing other novel liposomal products in the therapeutic areas of osteoarthritis, pain management, ophthalmology, and oncology.

As per the agreement, TLC is eligible to receive up to USD25m in upfront payments for each product and subsequent regulatory and sales milestone payments. TLC is also eligible for a share of the potential profits from product sales. No other financial terms were disclosed.