Zai: Capitalizing on China

Zai Laboratory Inc. is looking to in-license and develop a pipeline of novel compounds that target diseases prevalent in China and greater Asia and that also will have a global market. Zai's first deal came last month when it received worldwide rights to a pair of undisclosed pulmonary compounds from Sanofi.

The company and its investors believe the Chinese market is large enough to support multiple players pursuing the in-licensing model. Zai's investors also believe the newco's management team has the experience and network to execute on the model...