Core Viewpoint - The company Ruikangdi has officially entered liquidation and will cease all business activities in the Chinese rare disease drug market, marking a substantial exit from this sector [1]. Group 1: Company Overview - Ruikangdi, a subsidiary of the Italian pharmaceutical group Recordati, established its presence in China in 2021, focusing exclusively on the rare disease segment [5]. - The company had three approved rare disease drugs in China: Carbamoyl Glutamic Acid Tablets (Kaba Guo®), Phosphate Ozonoside Tablets (Shiyu San®), and Injection of Hydroxynaphthoic Acid Paretreptide Microspheres (Sainifen®) [1][5]. - Ruikangdi's entry coincided with a period of significant policy support for rare disease medications in China, with seven rare disease drugs included in the national insurance scheme in 2021, resulting in an average price reduction of 65% [5]. Group 2: Product Development and Market Challenges - The company successfully launched three rare disease drugs, with the latest approval for Carbamoyl Glutamic Acid Tablets in June 2023, followed by its market entry in November 2023 [5][6]. - The Phosphate Ozonoside Tablets, a first-in-class drug for Cushing's syndrome, was approved in September 2024, while the Injection of Hydroxynaphthoic Acid Paretreptide Microspheres is expected to be approved in April 2025 [6]. - Despite these advancements, the company faced significant challenges, including limited awareness of rare diseases among patients and doctors, high costs of treatment, and the economic constraints of many patients [10][11]. Group 3: Implications of Exit - The liquidation of Ruikangdi will lead to a gradual cessation of its products in the market, posing a serious challenge for patients requiring ongoing treatment [7]. - The potential for Ruikangdi's approved products to return to the Chinese market through policy channels or other pharmaceutical companies remains a focal point for patients and the industry [7]. - The exit reflects broader trends among multinational pharmaceutical companies in China, indicating a shift in the operational environment after a decade of growth, with several companies reassessing their strategies in response to market pressures [11][12].

Core Viewpoint - Recordati's subsidiary, Ricordi, has officially entered liquidation and will cease all operations in the Chinese rare disease market, marking a significant exit from this sector [1][2]. Group 1: Company Operations and Products - Ricordi had three approved rare disease drugs in China: Carbamoyl Glutamic Acid Tablets (Kaba Guo®), Phosphate Ozoniside Tablets (Shi Rui Sa®), and Injection of Hydroxy-Naphthyl Acetic Acid Parepitide Microspheres (Sai Ni Fen®) [1][2]. - The company initiated its operations in China in 2021, focusing solely on the rare disease segment, which was experiencing a surge in policy support [2]. - The commercial launch timeline for Ricordi's products includes Carbamoyl Glutamic Acid Tablets approved in June 2023 and launched in November 2023, with Phosphate Ozoniside Tablets and Injection of Hydroxy-Naphthyl Acetic Acid Parepitide Microspheres expected to follow in 2024 and 2025 respectively [3]. Group 2: Market Challenges and Patient Impact - The exit of Ricordi from the Chinese market raises concerns about treatment continuity for rare disease patients, who already face challenges such as low awareness, difficult diagnoses, and insufficient insurance coverage [1][5]. - The company had previously attempted to improve drug accessibility through patient assistance programs and inclusion in local health insurance schemes [4]. - The challenges faced by Ricordi highlight broader issues in the commercialization of rare disease drugs in China, including high R&D costs and the need for a sustainable support system for patients [1][6]. Group 3: Industry Context and Future Outlook - The exit of Ricordi reflects a broader trend among multinational pharmaceutical companies reassessing their strategies in the Chinese market, particularly in the rare disease sector [7][8]. - Despite advancements in the rare disease drug coverage system, significant gaps remain, impacting the commercial viability of these drugs [8]. - Future discussions will focus on whether Ricordi's approved products can return to the Chinese market through policy channels or be taken over by other companies to continue supplying these essential treatments [6].