New Year's Message | A New Chapter of Vigorous and Determined Endeavor

The future is promising by living life to the fullest.

As the bell of the New Year is about to chime, I would like to extend my warmest holiday greetings to all employees and their family members on behalf of Genuine Biotech, as well as my heartfelt gratitude for your efforts and support to the company's development over the past year. I would like to express my sincere greetings and best wishes to our customers, partners, and friends from all walks of life who have supported us for a long time!

Genuine Biotech celebrated its tenth birthday in 2022. In this new era of national prosperity and rejuvenation, the youthful Genuine Biotech welcomed breakthrough results and entered a new stage of development, and was repeatedly recognized and reported by China Central Television (CCTV), Xinhua News Agency, People's Daily, and other authoritative Chinese central media, significantly enhancing the company's brand value. We are pleased to be awarded the "Pharmaceutical Innovation Achievement Award of the Year", " Top Ten Pharmaceutical Innovation Research Teams of the Year ", and other honorary awards, with innovative R&D capabilities highly recognized by the industry.
Innovation leads to outstanding achievements

Since its inception, Genuine Biotech has insisted on innovation-driven business development. It has been a fruitful year with outstanding achievements. On Jul. 25, Azvudine tablets was approved as the first domestic oral drug for COVID-19, which is an important milestone for the company's development! On Aug. 9, Azvudine tablets was officially included in the Diagnosis and Treatment Guideline for COVID-19 (9th Edition). Since Aug. 12, azvudine has been covered by temporary medical insurance. As of now, Azvudine has been included in the basic medical insurance networks of 31 provinces, autonomous regions, and municipalities of China. Recently, with the release of the Notice on Provision of Internet Medical Services for COVID-19 by the Medical Treatment Group of the Joint Prevention and Control Mechanism of the State Council, online medical platform channels such as Fosun Health, WeDoc, and Fangzhou Jianke are now available for Azvudine, markedly improving the accessibility of Azvudine, further addressing the home treatment demand of patients with COVID-19 infection, so as to consistently benefit more patients and safeguard people's health.
On Oct. 8, the clinical trial application for CL-197, a next-generation oral long-acting HIV drug candidate independently developed by Genuine Biotech, was formally approved by the Center for Drug Evaluation of the NMPA. The combination of CL-197 and Azvudine meets the requirements of HIV cocktail therapy, which is equivalent to having three drugs with different mechanisms of action acting simultaneously. The cocktail treatment can effectively prevent the occurrence of drug resistance and is expected to be developed into the first fully oral long-acting anti-HIV drug in the world.
Since the beginning of this year, a number of invention patents declared by Genuine Biotech have been accepted by the China National Intellectual Property Administration, marking the further strengthening of the protection of the company's intellectual property. Among them, the domestic invention patent of oral drug for COVID-19 was granted on Oct. 14. Patents are the cornerstone of business development and the embodiment of the results achieved by innovative exploration. Since its establishment, the company has obtained more than 40 invention patents in China and overseas, and has progressively established a scientific patent layout and intellectual property protection system.
A splendid chapter of industrial development

To address the huge market demand for Azvudine tablets, Genuine Biotech has established a modern manufacturing site in Pingdingshan, which has successfully passed the GMP compliance inspection in May 2022. On Aug. 2, Azvudine tablets was successfully manufactured in mass production, and the production expansion was completed in November, increasing the daily production from 70,000 bottles to 300,000 bottles, and achieving an annual production capacity of more than 3 billion tablets, thereby securing the market supply.

With regard to commercialization, Genuine Biotech entered into a strategic collaboration with Fosun Pharma at the end of July. The two companies will jointly develop Azvudine tablets, which will be exclusively commercialized by Fosun Pharmaceutical Industrial, a subsidiary of Fosun Pharma, and the areas of partnership include treatment and prevention of COVID-19 and HIV. The strategic collaboration provides crucial support for the rapid launch and sales of Azvudine tablets. At present, Fosun Pharma has entered into strategic collaborations with a number of business partners in China, including Sinopharm Group and China Resources Pharmaceutical, to fully leverage their respective assets and accelerate the coverage of terminals of the channel network.
Steady progress towards listing
On Aug. 4, Genuine Biotech successfully submitted an application for listing on the main board of the Hong Kong Stock Exchange. According to the prospectus, the proceeds will be used mainly for enhancing the R&D platform, expanding the product pipeline, clinical development of investigational drug candidates, manufacturing, and commercialization of Azvudine tablets, and potential acquisition or introduction of other drug candidates, etc. Genuine Biotech will follow the requirements of the Hong Kong Stock Exchange to steadily proceed with the listing process.

Genuine Biotech successfully completed its Series B financing this year, raising RMB 563 million that provides a strong impetus for the company's development. It will further enhance the R&D efficiency by comprehensively accelerating the R&D process of each innovative drug and strongly strengthening the company's competitive advantage in the field of innovative drugs.
Charity drug donation to fulfill its social responsibility

On Aug. 19, 5,000 bottles of Azvudine tablets donated by Genuine Biotech and Fosun Pharma arrived in Lhasa. This batch of drugs was received by the Health Commission of Tibet Autonomous Region and distributed to designated hospitals on the same day to meet the needs of first-line pandemic prevention and control. This is part of the company's efforts to support the tough fight against the COVID-19 pandemic, fulfilling its corporate social responsibility.

Genuine Biotech will dedicate more resources to charitable causes in the future, contributing to the harmonious development of society and the health and well-being of the general public.

However difficult it might seem, the challenge will be overcome.
The celebratory year of 2022 has come and gone. In 2023, Genuine Biotech will continue to focus on R&D as the driving force, further improve its R&D team, recruit international talents, enhance the R&D platforms, and expand product pipelines to address unmet clinical needs with newer and better treatment options, so as to improve human health through genuine pharmaceutical innovation.
The 10th anniversary is a perfect time to celebrate our youthfulness. We wish to be a companion with those who strive, to pursue our dreams, and to write a new chapter!

I wish you all a prosperous new year! Stay healthy, have a happy family union, and succeed in your career!

Chairman and CEO of Genuine Biotech: Du Jinfa

Dec. 30, 2022