In 2016, Athenex began building out the Company’s U.S.-based specialty pharmaceutical products organization in advance of the launch of our own proprietary products. The Athenex specialty pharmaceutical products team markets and sells in-licensed pharmaceutical products which are therapeutically related to our proprietary portfolio. In 2019, the Company established Athenex Oncology with the goal of launching and marketing our future proprietary products, and internalized key components of the supply chain, in order to minimizing the risks of potential supply chain disruptions. In March 2022, the Company made the announcement to strategically pivot the vast majority of resources to its Cell Therapy platform, acquired in 2021 through Kuur Therapeutics.

Athenex Pharmaceutical Division (APD)

The Company’s U.S. specialty pharmaceuticals business sources products through licensing agreements with various partners, who we refer to as our Global Partner Network. APD benefits from unique commercial expertise in multisource oncology and therapeutically related products. Furthermore, APD has developed a number of Global Partners that develop and manufacture multisource products for the U.S. market. Athenex’s Global Partner collaborations represent a profit split between the Company and its partners. Athenex markets the products to Gatekeepers and Influencers in the U.S. oncology market, helping prepare the future launches of any approved Athenex proprietary oncology products into the U.S. market.

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