After being fired, I became the light of medicine

Chapter 149: Patent Transaction Reached! Huge Profit! (Subscribe)

"Old Qian, please keep 220 billion in cash in my account. I may need it at any time."

"Ah...? Okay, Mr. Zhang."

Hearing that Zhang Yang did not want to buy financial products, Lao Qian let out a sigh of disappointment, but he also guessed that Mr. Zhang specifically asked to leave 220 billion in cash, which must be a big move.

After a while, Lao Qian left the office, and Zhang Yang began to think seriously.

He personally called Lao Qian to inquire about the cash in the company's account in order to have a clear idea of ​​the situation and to better formulate negotiation strategies with BI Company in the future.

BI asked for 3 million US dollars plus 30% profit dividends of all drugs developed based on the patent.
Of course he doesn't want to.

Once agreed, just like in the mobile phone industry, domestic mobile phone manufacturers have to pay Qualcomm a patent fee for every mobile phone they produce. It’s unpleasant to think about it.

The best way, of course, is to buy out the patent in one go, and any subsequent drug development will have nothing to do with BI Company!

Thinking of this, Zhang Yang was already very clear, and the core negotiation idea was decided, which was -

I would rather spend a little more money to buy out the patent in one go than have any worries.

of course.

It is not easy to buy out the patents from a BI company at one time.

As he was thinking, Zhang Yang simply stood up from his chair and began to analyze the bargaining chips of both parties as he walked:

"The biggest advantage we have is that BI doesn't know our true intentions. They think we are not interested, but in fact we are more eager than anyone else to buy their 'catalyst' patent.
They thought we had a similar 'macromolecule toxin' R&D project, but in fact we didn't, we were just using an empty city strategy!"

"So, we must not show weakness in the negotiation. We should take a more dominant position..."

Zhang Yang sorted out his thoughts in his mind. Half an hour later, he called Ren Xiaomin and told him a series of ideas.

This is also the first and most significant BD transaction since the establishment of Qingshan Pharmaceutical. Such a major decision must of course be discussed with Brother Ren.

Ren Xiaomin also knew that the matter was serious, so he temporarily put aside other work in his hands and concentrated on helping Zhang Yang find and fill in the gaps, and even conducted two mock negotiations.

Two days later, the two worked together to develop a complete negotiation plan and buyout price expectations!

Zhang Yang called the plan "retreat to advance", and Zhang Yang's psychological expectation price was no more than 25 billion US dollars!

According to previous calculations, once BI's "macromolecular catalyst" is developed, the selling price will be about 300-400 yuan per batch, with a profit of 200-300 yuan.

According to conservative estimates, domestic profits should be 15 billion a year, while overseas profits should reach 30 billion, adding up to 45 billion!
In other words, the R&D cost of US$25 billion or RMB 175 billion can be recovered in about five years!
The next day, Zhang Yang received a negotiation invitation from BI Company. That afternoon, the two parties started their first online video negotiation.

The time difference between Germany and China is only 6 hours. When it is 3 pm in China, it is exactly 9 am in Germany.

In the multimedia conference room, Zhang Yang sat in front of the camera, and next to him were Ren Xiaomin and Wei Tian.

On the other hand, BI companies are also full of senior executives.

In addition to Hans sitting in the middle as the main negotiator of this BI event, the vice president of BI's marketing department and the head of the R&D department are on the left and right.

"Zhang, we haven't met since the last 'Global Kidney Disease Summit'. I didn't expect to see you again in this way this time."

"I am also very moved. President Hans, welcome you and your colleagues to visit China again. We welcome you very much."

Among the six negotiating team members of both sides, only Zhang Yang and Hans had met each other once.

When they met again, both sides deliberately exchanged a few pleasantries, making the atmosphere of the entire negotiation a little less unfamiliar.

After a brief introduction and greetings, Zhang Yang took the lead in introducing the topic as planned.

"President Hans, now that we have all gotten to know each other, let's get to the point."

"Three days ago, you proposed a buyout plan of 3 million US dollars plus 30% profit sharing. My senior management team and I have carefully studied it in the past few days. I think this approach is not appropriate. We want to change it."

"You should also remember that more than half a year ago we provided your company with a 'patent licensing transaction' plan."

"Our offer at that time was: We are willing to pay $5000 million for the patent licensing fee for 'BI-Catalyst'!"

"Now... we still hope to just pay the patent licensing fee at a price of $5000 million, rather than buying out your patents completely."

"What do you think?"

After the words fell, Hans, who was flipping through the documents, was obviously stunned.

Since the last preliminary communication with Tsingshan Pharmaceutical, he and the entire senior management have been preparing for the negotiations with Tsingshan Pharmaceutical over the past two days.

He thought that Qingshan Pharmaceutical might frantically lower the price, or make demands on the dividend ratio, but he never expected that Qingshan Pharmaceutical would actually open its mouth and say -

Not buying out the patent, but only willing to pay for patent licensing? !

You know, the gap between the two is very huge.

Buying out the patents means selling all the patents to Tsingshan Pharmaceutical;
Patent authorization means that the ownership of the patent remains in the company's hands. Tsingshan Pharmaceutical can only use the patent to develop drugs after obtaining authorization.

After a while, Hans finally came to his senses.

He shook his head:

"Zhang, if you just want to get the patent license, then this negotiation is meaningless."

"For us, a patent licensing fee of $5000 million...we don't want to do such a deal."

Zhang Yang frowned, pondered for a moment, and looked at Hans:

"So, you still want us to buy out the patent?"

After he finished speaking, Hans also frowned.

Faintly, he felt something was wrong.

But after a moment, he nodded:

"Yes, we prefer to sell out the patent."

Zhang Yang did not respond directly this time. He lowered his head and spoke a few words to Ren Xiaomin beside him before saying:
"Well, if you are really only willing to sell the patent, I can consider a price for the sake of friendship, but you have to be mentally prepared for the price."

"besides……"

Zhang Yang paused:
"Also, when I do BD transactions, I usually prefer to use the simplest method, such as a one-time buyout of the patent, rather than adding some dividends or something like that. If you can accept that, we can continue the discussion."

"If you can't accept it, then there's no need to offer to save it."

Zhang Yang's words surprised Hans again.

Fixed price, no profit sharing clause?
He began to quickly flip through the documents in his hand, but after just two glances, the vague feeling that something was wrong just now resurfaced.

Not only him, but the other two executives of the negotiation team also sensed this wrong feeling. They had predicted in advance that Qingshan Pharmaceutical might propose a "no dividend clause" and even made many preparations for it, such as taking the opportunity to raise the price...

But they didn't expect that now there was only Yes or No in front of them, and they were not given any chance to put forward other conditions!
They soon realized that they had been quietly led into the negotiation rhythm of Qingshan Pharmaceutical!

Hans glanced at Zhang Yang in surprise.

Although he had already noticed that Tsingshan Pharmaceutical was using "closed questions" to force him to answer according to their ideas, it seemed that he had no choice but to answer at the moment.

Are you acceptable?
If you can, let’s continue talking.

No, there is no room for negotiation.

After a moment, he adjusted his breathing:
"Zhang, we can accept a one-time buyout of the patent, but you need to offer a good price."

“Good price?”

Zhang Yang laughed:

"Hans, don't worry. Your BI company has never done any business with me, but your neighboring GlaxoSmithKline and Novartis have cooperated with our Qingshan Pharmaceutical for several years!"

"We had a very pleasant cooperation before. Okay, I'll just say a price:"

"US$6 million to buy out all of your BI-Catalyst patents in one lump sum!"

"$6 million?"

After he finished speaking, Hans shook his head without hesitation.

"Zhang, this price is too low, we can't accept it!"

"You have to understand that we have invested more than 15 billion US dollars in this project. We can't sell it for only 6 million US dollars!"

"I understand!"

Zhang Yang kept his eyes on Hans's expression, and when Hans finished speaking, he immediately continued:
"I understand, but I also hope you can understand my difficulties."

"To be honest, we have already invested hundreds of millions of dollars in our 'Macromolecule Toxin Catalyst' project. If I spend more money to buy your patent, think about it. We have invested so much money inside and out. Even if we develop a 'catalyst drug', how long will it take us to recover the cost?"

"For us, it's not cost-effective. We might as well focus on developing our project!"

Hans was stunned for a moment and shook his head:
"Zhang, our 'BI-Catalyst' has entered the Phase II clinical trial, and the progress is much faster than yours."

"Also, we all know that our 'catalyst' is very compatible with your 'Kidney Toxin Clear'. If you buy the patent and develop an injectable 'catalyst', it will most likely be successful!"

"As for how long it will take to recover the cost, once the research and development is successful..."

Before he finished speaking, Zhang Yang spread his hands, his tone suddenly became serious, and interrupted:
"Hans, I'm sorry to interrupt you, but in the field of drug development, there is only success or failure, there is no such thing as a high probability of success."

"If you think it is 100% successful, then you can sell it to me after you succeed in developing it, and I will definitely buy it."

"Your current patent is only in Phase II clinical trials, which is far from successful, right? Then we can only negotiate based on the price of Phase II clinical trials!"

Hans suddenly fell silent.

For the first time, he discovered that Zhang Yang was much more powerful than he had imagined.

He originally wanted to interrupt Zhang Yang's rhythm and show more of his advantages as a "BI-catalyst", but within just a few seconds, Zhang Yang discovered the biggest loophole in his words and stopped him from continuing.

After taking a deep breath, he had no choice but to change the topic again:
"Okay, Zhang, I understand your difficulties."

"But $6 million is still too low. We can't accept it."

"it is good!"

Zhang Yang no longer hesitated and said in a deep voice:

"Then you name a price and I'll think about it."

As soon as he finished speaking, even Ren Xiaomin, who was standing beside him, couldn't help but blink.

This is Zhang Yang's "retreat to advance". He first took a step back by using "patent authorization", then pressed forward step by step to remove the dividend clause, and finally guided BI companies to state their bottom line!
As long as Hans names a price next, we will have a clear idea of ​​the price and the initiative in the negotiations will be completely in our hands!

The rest is just bargaining!

Hans also realized that the entire negotiation situation had become passive, which was very different from what he had originally imagined.

However, it was impossible to turn around at this moment, and he looked slightly towards a corner in front of him on the right.

There, outside the camera, is BI company's president, Dussmann.

President Dussmann was also watching the negotiation in a corner of the conference room. He frowned, hesitated for a few seconds when he saw Hans' gaze, and finally nodded.

Hans no longer hesitated:

"Zhang, if you want to buy it out in one go, it'll cost at least 20 billion US dollars!"

$20 billion!

140 million yuan.

Zhang Yang breathed a sigh of relief. Now that the other party had made an offer, everything would be easy!
Overall, the price was quite reasonable, even lower than he expected!
but.

I breathed a sigh of relief in my heart, but my face was full of surprise and dissatisfaction!
"Hans! 20 billion US dollars, are you trying to rob me?! This price is impossible!"

"Two billion for a drug in Phase II clinical trials? Go ask how many drugs on the market can reach this price?!"

"Besides, don't you know that the price of 'dialysis fluid' in the market has plummeted now?! It is still uncertain what the price of this drug patent will be in the future!"

Ren Xiaomin, who was standing aside, breathed a sigh of relief when he saw Zhang Yang's angry expression!

He knows it's safe!
One hour later, the two sides concluded the negotiation and the final price was:

Tsingshan Pharmaceutical bought out all patent rights of "BI-toxin catalyst" for US$14.5 billion, equivalent to RMB 100 billion.

In addition,

BI will send Mueller, the project leader of "BI-Toxin Catalyst", and another deputy team leader to Tsingshan Pharmaceutical to assist Tsingshan Pharmaceutical in continuing the research and development of "BI-Toxin Catalyst" for a period of one year.

Of course, the costs will be borne by Tsingshan Pharmaceutical.

A week later, Hans flew to Tsingshan Pharmaceutical, and two senior drug researchers also came to Tsingshan Pharmaceutical.

After signing the agreement, Zhang Yang felt relieved. He had obtained BI Company's "BI-Toxin Catalyst"!

(End of this chapter)