Hangzhou Yuannang Biotech completes nearly RMB 100 million in Series A financing and completes clinical enrollment for comminuted fracture adhesion treatment

VCBeat has learned that Hangzhou Yuannang Biotech Co., Ltd. (hereinafter referred to as “Yuannang Biotech”) has successfully completed nearly RMB 100 million in Series A financing. This funding round was led by Lotus Lake Capital, with follow-on investments from institutions including Zheshang Venture Capital. The proceeds will primarily be used to advance the clinical application of the company’s core product, “Bone 02 Comminuted Fracture Adhesive,” which can rapidly bond in moist, blood-rich environments and is fully biodegradable.

Fractures are one of the most common injuries in clinical practice. If not treated promptly and effectively, they can lead to serious consequences, being one of the main causes of disability in young and middle-aged individuals and mortality in elderly patients. With the advancement of modern medical technology, particularly the application of metal internal fixation, the healing of fractures has greatly improved.

However, for comminuted fractures accompanied by numerous small bone fragments, traditional metal fixation methods not only present challenges such as difficulty in achieving anatomical reduction, time-consuming and labor-intensive fixation with plates and screws (often requiring several hours for a single surgery), and the inability to achieve tight gapless alignment, but also carry a high risk of bone fragment loss and resorption. This can lead to bone mass deficiency, which in turn may cause delayed bone healing or nonunion. In particular, if comminuted fractures in joint areas cannot be anatomically reduced, they are highly prone to articular surface defects or irregularities, which can eventually result in post-traumatic arthritis and severely impact the patient’s quality of life.

Therefore, tens of millions of patients worldwide and millions nationwide with comminuted fractures are in need of a disruptive technological breakthrough.

In January 2025, Yuannang Biotech launched the world's first prospective, multicenter, blinded, randomized, parallel-controlled, non-inferiority clinical trial for the indication of comminuted fracture bone adhesion, and recently completed the full clinical enrollment of over 150 cases. Enrollment results showed that not a single case had safety issues, and the treatment effect met expectations.

Yuannang's bone adhesive achieves seamless bonding of all sizes of fracture fragments through its adhesive technology, reducing or avoiding the use of metal internal fixation, lowering the risk of foreign body reactions and infections, and greatly improving the efficiency of surgical treatment for comminuted fractures.

Traditional Treatment for Distal Radius Fractures: Metal Internal Fixation

Distal Radius Fracture "Bone 02" Treatment Method: Independent Adhesive Fixation

(Left: photo during the surgery; Middle: preoperative X-ray; Right: 3-month postoperative X-ray）

In fact, for nearly a century, scientists worldwide have been dedicated to the development of bone glue but have consistently failed to overcome two major technical bottlenecks: biosafety and adhesive strength in wet environments.

The core founding team of Hangzhou Yuannang Biotech has been deeply engaged in orthopedic clinical practice for over 40 years, always yearning for a bone adhesive material to treat comminuted fractures. Faced with this clinical challenge, Chief Scientist Lin Xianfeng, combined their rich clinical experience with a solid foundation of basic research. He led the team to devote themselves to the development of this material. However, there was little progress in the first few years, and they even considered giving up at one point.

A turning point came from the inspiration that Lin Xianfeng gained from growing up by the sea. He recalled the ancient Chinese practice of “cultivating oysters to stabilize foundations” over a thousand years ago—oysters can secrete a natural adhesive that bonds their shells to bridge piers even underwater. Inspired by this phenomenon, the team adjusted their R&D approach and, through continuous experimentation and optimization, eventually overcame numerous challenges such as biotoxicity generated during the product’s reaction process, adhesive stability in blood-rich environments, and ease of surgical application. This led to the successful development of Bone 02 Comminuted Fracture Adhesive, a bone adhesive product that can rapidly bond in moist, blood-rich environments and is fully biodegradable.

With the successful development of Gu 02 Bone Adhesive, a minimally invasive and convenient revolution in fracture surgery can be achieved clinically, and in national defense, it can solve the "self-service" fixation of immediate war trauma fractures, marking that both the treatment concept of fracture surgery and internal fixation products in China have realized China's "Sputnik Moment."

Bone 02 Bone Fragment Adhesive Product Image

In terms of product development, the core founding team of Hangzhou Yuannang has been deeply engaged in the transformation and application of innovative biomaterials for over a decade. Multiple research achievements have been published in the main journal of Nature and its CNS sub-journals. The company has obtained dozens of core patents authorized in major global economies such as China, the United States, the European Union, and Japan. Additionally, they have led the Yuannang Biotech team in establishing a comprehensive product layout focused on human tissue regeneration and repair.

IIts representative products include: a single-use gel patch molding device, recognized by regulatory authorities as the first domestically approved PRP (platelet-rich plasma) patch preparation kit (Registration No. Zhe Xie Zhu Zhun 20252141621), which has received Zhejiang Province Class II Innovative Medical Device certification and effectively addresses the “last mile” challenge in the clinical application of PRP; and a porcine-derived bone repair material(Registration No. Guo Xie Zhu Zhun 20243131263), which has successfully overcome the issue of interspecies immune rejection. This product has, for the first time domestically and internationally, achieved complete substitution of porcine bone for allogeneic bone, filling a current gap in the market for bone defect repair materials.

Bone 02 Comminuted Fracture Adhesive is another representative product of Yuannang Biotech’s ongoing pursuit of breakthroughs in orthopedic technology. Yuannang Biotech has already taken a small step toward achieving the world’s first approval for comminuted fracture indications, and in the future, the product is expected to make significant advances in various clinical applications of hard tissue adhesion, including spinal internal fixation alternatives and immediate dental implantation.