AI Healthcare Rebounds with Strong Capital Inflows: 22 Funding Rounds and Over RMB 1.8 Billion Raised in H1

　　【Pharmaceutical Network Industry Dynamics] AI-driven drug discovery is based on big data in the pharmaceutical industry and applies artificial intelligence technology to various stages of drug development. It helps improve the efficiency and quality of new drug research and development while reducing costs. Against the backdrop of fierce competition in the pharmaceutical market and rising labor costs, the future market prospects are expected to be broad.
 

From the industry statistics on AI healthcare's capital favor in the first half of the year, although the industry is in an overall downturn, there has been a significant recovery compared to the same period in 2023. Data shows that in the first half of 2024, there were 69 global AI pharmaceutical financings with an investment amount of $3.36 billion, more than double that of the same period in 2023.
 

In China, AI pharmaceutical financing has also been eye-catching, with 22 AI pharmaceutical financing events occurring in the first half of the year, and the total financing amount exceeding 1.8 billion yuan, both showing an increase compared to the same period in 2023.
 

In the above financing events, the particularly noteworthy Chinese company is METiS TechBio. According to news in June, Hangzhou METiS TechBio Co., Ltd. (hereinafter referred to as "METiS TechBio"), an innovative biotechnology company specializing in "AI + drug delivery," announced the completion of its $100 million Series C financing round. This round was led by a fund under CICC Capital, with participation from Taiping Hong Kong Insurance Innovation Fund under China Taiping. The proceeds from this round will further accelerate METiS TechBio's R&D progress and enhance the company’s competitiveness in the AI-driven drug discovery field. METiS TechBio plans to use the funds to strengthen team building and advance the research and clinical application of more innovative drugs.
 

It is reported that METiS TechBio is a biotechnology company driven by artificial intelligence in drug delivery and drug discovery. It integrates technologies such as artificial intelligence, machine learning, and quantitative simulation to achieve more effective innovative delivery material design, candidate drug selection and formulation design, "programmable nucleic acid drug" development, and nucleic acid delivery design.
 

Industry statistics show that, including previous investments from investment institutions, METiS TechBio has cumulatively raised nearly 300 million US dollars. This demonstrates the capital's favor towards this company.
 

Apart from METiS TechBio, several Chinese AI healthcare companies announced the completion of financing in the first half of the year. For instance, on May 20, Xingputai announced the completion of a strategic financing round worth tens of millions of RMB. This round was jointly invested by pharmaceutical listed companies Xingqi Eye Medicine and Renfu Medicine, industrial party Frerel Medicine, and Purple Knight Capital, a new venture capital fund specializing in the peptide field. This financing will provide more real-world demands from pharmaceutical enterprises for subsequent peptide drug research and development and production. This year marks the commercialization debut year for Xingputai, and this financing will further accelerate the transformation of Xingputai's novel, efficient, and green peptide synthesis technology, promoting high-value peptide products such as Semaglutide and Tirzepatide.Active Pharmaceutical IngredientsProduction and sales.
 

It is reported that Xingputai, initiated by the AI + peptide Contract Research, Development and Manufacturing Organization (CRDMO) platform company Shengpu Zetai, has successfully developed more than 10 high value-added peptide active pharmaceutical ingredient (API) products, including blockbuster products such as Semaglutide and Tirzepatide. These products cover various peptide therapeutic fields such as hypoglycemic weight loss, antibacterial infection, and ophthalmic diseases. In terms of quality control, some of these products have surpassed foreign original research products.
 

Haitong Securities published a research report stating that with the continuous advancement of AI technology and the enhancement of CRO companies' professional capabilities, it is expected that there will be more innovative breakthroughs in the field of drug research and development in the future. Data predicts that by 2026, the global market size will reach 2.994 billion US dollars.
 

Disclaimer: In no event shall the information or opinions expressed in this article constitute investment advice to any person.