Genecast Biotechnology Receives ¥300 Million in Series D1 Financing

Genecast Biotechnology recently raised ¥300 million in a Series D1 round of financing. This round of financing was led by CICC Capital, an investment platform of China International Capital Corporation (CICC). According to a statement on Wednesday, the round was joined by return backers Chinese TMT, healthcare-focused investment company Cowin Venture, Yahui Precision Medicine Fund, which primarily invests in the gene testing field, and Matrix Partners China.

The majority of funds obtained from this financing activity will be used to upgrade Genecast Biotechnology’s businesses across all areas. This includes: technology, to build a technological moat by creating and improving a multi-dimensional detection platform and system for immunotherapies and other solutions; products, to accelerate internal R&D, enrich the product matrix and continually expand the introduction of overseas advanced products and technology; scientific research, to improve cooperation between clinical teams and pharmaceutical companies, including the cooperation with international pharmaceutical companies in global clinical trials to edge into the overseas market; and marketing, to reinforce brand promotion and broaden market channels, with efforts to be made both online and offline.

According to CICC Capital’s project team—the leader in this financing activity—as the basic sciences develop and more and more tumor-targeting drugs are introduced to the Chinese market, gene detection in the medication of tumor-targeting drugs will become an important factor in boosting the medical industry in the coming years. There are more than four million new patients with cancers in China every year but gene detection remains underused. An attractive new player on the market, Genecast Biotechnology boasts the unique advantage of having both independent R&D and exclusive agency of overseas products, thanks to its outstanding technical strength and extraordinary market development capacity over recent years. Its differentiated product portfolio and capacity for continuous iteration can meet the long-term demand of the present domestic market for continuous iteration of products. Currently Genecast Biotechnology has developed into one of the top competitors across the industry, and has the opportunity to grow into a leading player in precision medicine targeting tumors in the future.

Cowin Venture Capital’s project team stated Cowin Venture Capital first began participating in Genecast Biotechnology’s financing series in the angel round because it believes that, with China Genecast Biotechnology, the country’s most competitive team, there is the ability to build up a full-process management platform in oncology, one that is based on high-quality precision diagnosis of tumors and which benefits Chinese patients. It will also continue to integrate its global technical initiatives with Genecast Biotechnology’s leadership in the domestic market.

“Scenarios for the practical application of gene detection in tumors have increased from simple medication guidance to patient-oriented auxiliary diagnosis and recurrence detection, as well as clinical trials and new drug R&D for pharmaceutical firms. We are optimistic about the evolution of detection into a central ‘pool’, which brings together all parts of the tumor diagnosis and treatment process—doctors, patients, pharmaceutical firms. According to developments by Guardant Health, a U.S.-based leading player in tumor gene detection, there is a sizeable space in China for the development of both a comprehensive tumor gene detection industry and to have the leading players in it, including Genecast Biotechnology,” said Yakun Ding, co-founder of Yahui Precision Medicine Fund. 

“Precision medicine, or personalized medicine, has been more frequently applied in the treatment of tumours. Genetic testing, in particular, plays a vital role in tumour treatment,” said Eric Yu Zhiyun, managing director of Matrix Partners China, “We believe there will be two trends in the future development of genetic testing for tumours: Firstly, the testing for gene mutation will increase and the second-generation sequencing will serve an increasingly important role. Secondly, the adoption of genetic testing will begin as early as when the development of innovative drugs starts”.