ESG Report 2024

32 6.4.3 Rational Use of Medications The Group actively promotes the rational use of antibiotics as the misuse of antibiotics leads to increased antibiotic resistance, which inevitably poses threat to public health. As antibacterial drugs are one of the Group's major product categories, the Group strictly complies with the "Administrative Measures for the Clinical Application of Antibacterial Drugs" promulgated by the government and the "Classification and Management Catalogue of Clinical Application of Antibacterial Drugs" issued in various regions, and actively cooperates to control and reduce the occurrence of antibiotics abuse. To address the issue of antibiotic resistance, the Group is developing class I new drug projects, LB2311 and LB2332, aimed at treating drug-resistant bacterial infections and fungal infections. As of this year, these projects are in the preclinical research stage. Focus on Rare Disease 6.5 Under the guidance and support of relevant policies such as the "Drug Registration Management Measures" and "Rare Disease Diagnosis and Treatment Guidelines", the Group has fully leveraged the advantages of its own research system, proactively responded to the national call, conducted in-depth analyses of the market demand for rare diseases, and substantially increased the investment in the research and development of medicines for rare diseases. This aims to improve the clinical treatment landscape in our country. The Group focuses on enhancing the accessibility of innovative therapeutic drugs to rare disease patients with rare diseases so as to benefit more patients. PNH is an acquired hemolytic disease in which a mutation in the PIG-A gene of hematopoietic stem cells leads to the loss of a group of membrane proteins anchored to the cell surface through glycosylphosphatidylinositol (GPI). This results in changes in cellular properties and sensitivity to complement, leading to intravascular hemolysis, potential bone marrow failure, and thrombosis. The incidence rate of PNH in Western countries is (1-2)/million population/year, with a standardized rate of 1.3/million population/year. In our country, the overall incidence rate is around 1/100,000, which is higher than in Europe and America. At present, the treatment for PNH is to inhibit complement C3 or C5 monoclonal antibodies, which can effectively reduce their levels in PNH patients. However, these drugs have defects such as injection pain and infection risk. Our research project LB2023, an oral small molecule new drug, which is to develop a compound that inhibits the complement pathway through the CFB target to achieve the inhibitory effect on complement in PNH patients. Compared with C3 and C5 monoclonal antibodies that completely inhibit the complement pathway, this drug will be safer and more compliant with medication. In December 2023, Novartis CFB target drug LNP023 became the world's first monotherapy drug approved by the FDA for treating PNH. Therefore, our new drug targeting the same target has an opportunity to be used for the treatment of rare diseases such as PNH in the future. Paroxysmal Nocturnal Hemoglobinuria (PNH) Environmental, Social and Governance Report 2024 The United Laboratories International Holdings Limited