CytoNiche secures hundreds of millions of RMB in series B+ round financing, initiating industrial cell development 2.0 era

Recently, Beijing CytoNiche, a global leading provider of integrated platform solutions for large-scale intelligent manufacturing of 3D cell technology, announced the successful completion of a Series B+ financing round worth several hundred million RMB. This round of financing brought together several top-tier investment institutions, including Beijing Medical and Health Industry Investment Fund, Beijing New Materials Industry Investment Fund, ICBC Shunxi Fund, Jingguorui Fund, Guoxin Fund, Yuanzhi Capital, CMB International Capital, Chongqing Xiangxinli Fund, Guokang Fund, and Zhongguancun Capital, etc.

The funds from this round of financing will be mainly used to deepen the technological research and development of the cell production system, expand the product matrix, upgrade the scaled-up overall solution covering the entire life cycle of cell drugs, accelerate the industrialization process, and provide solid support for speeding up the global market layout. Bairong Capital continues to serve as the company's exclusive financial advisor.

In recent years, cell therapy has become one of the most cutting-edge and popular directions in the field of medical research, with related technologies developing rapidly and clinical demands showing explosive growth. However, the industrialization process is still constrained by production efficiency and quality. "How to achieve high-quality and efficient cell production" has become a key bottleneck restricting industry development. CytoNiche, relying on the core 3D microcarrier technology derived from the scientific research achievements of Professor Du Yanan's team at Tsinghua University’s Biomedical Engineering Department, has successfully broken through this bottleneck, driving industrial upgrading.

In the seven years since its establishment, CytoNiche has successfully achieved a leapfrog development from the laboratory to the production line, building a "3D Cell Intelligent Manufacturing Platform" for the large-scale, automated, intelligent, and fully enclosed production of cell-based drugs and their derivatives. A single batch can complete the preparation of billions to trillions of cells. With core advantages such as controllable costs, high product quality consistency, and excellent clinical transformation efficiency, the company has become an important force in advancing cell-based drugs from research and development to clinical applications, benefiting patients.

Currently, CytoNiche has built a research and development and transformation platform of nearly 7,000 square meters and a GMP production platform of 6,000 square meters, including a 3D FloTrix® cell technology platform of over 1,000 square meters focused on 3D cell intelligent manufacturing and micro-tissue regenerative medicine therapeutic products. The microcarrier and culture medium additive production lines have an annual output of 300 kg and 300,000 bottles respectively, providing a solid foundation for continuous innovation and industrial development.

The global biopharmaceutical industry is thriving, but in the field of cell preparation, European and American companies have long occupied a dominant position. The reagents, consumables, and equipment required for domestic cell therapy research and development mostly rely on imports. Relying on 3D cell manufacturing technology and full-process professional guidance, Huakan Biotech has assisted multiple clients worldwide in completing IND submissions for stem cell drugs and gaining approval, further driving the official approval and market launch of China’s first stem cell drug. 

The entire series of products and preparation process worth billions to trillions from CytoNiche deeply integrate into the R&D and production of this new drug, greatly enhancing the efficiency of both development and manufacturing while accelerating the product’s market entry and application. Notably, the price of this drug is only about 1/70th of similar products in the United States, fully demonstrating the significant advantages of CytoNiche’s technology in improving efficiency and substantially reducing consumables, labor, and time costs. As the world's first stem cell drug commercialized using a 3D cell manufacturing process, it paves a new and more accessible path for the global R&D and industrial application of stem cell therapies.

Currently, CytoNiche is actively implementing the "Technology Going Global, Industry Growing Together" strategy, showcasing a new image of China's original biotechnology in the international market. It has established substantial cooperation with customers in more than 20 countries and regions across Asia, Europe, and North America. In the future, CytoNiche will use its overseas headquarter in Singapore as a pivot to continuously accelerate its internationalization process, committing to enhancing the accessibility of CGT therapies through disruptive technologies, empowering global partners, and benefiting patients worldwide.

Dr. Liu Wei, co-founder and CEO of CytoNiche said, "this round of financing is an important milestone in the development of CytoNiche, marking the capital market's firm confidence in our industrialization capabilities and commercial prospects. This funding will empower us to accelerate the creation of a more comprehensive 3D cell manufacturing platform, deepen our product line layout, and enhance our global supply chain capabilities. We are committed to becoming the most trusted 'process engine' for global cell therapy companies, enabling more breakthrough therapies to achieve cost reduction and efficiency improvement, thereby benefiting patients worldwide and ushering in a new era of cell industrialization. The development of globally disruptive indigenous original technology cannot be achieved without the support and companionship of all investors. CytoNiche will continue to move forward steadily with this trust."

Mr. Ren Peng, chairman and general manager of Shunxi Management Company expressed, ‌"the Beijing Medical and Health Fund and the Beijing New Materials Fund have always adhered to driving the development of new quality productive forces through technological innovation, actively serving the high-quality development strategy of the capital. CytoNiche's 3D cell manufacturing platform not only breaks through the key technical bottlenecks in the large-scale and industrial preparation of cells but also realizes the domestic substitution of core equipment and processes in the cell therapy field, providing a solid 'Beijing solution' for the biopharmaceutical industry. This project aligns closely with Beijing's strategic deployment to build a modern industrial system and effectively strengthens a key link in the biopharmaceutical industry chain in the Beijing-Tianjin-Hebei region. It is expected that CytoNiche will reinforce the critical links in the Beijing-Tianjin-Hebei biopharmaceutical industry chain with its 'technology-industry-international' trinity innovation ecosystem, making the cost revolution of cell therapy benefit thousands of households and seize the strategic high ground of the global cell therapy industry."

Mr. Lu Shengdong, deputy general manager of ICBC Investment and Chairman of ICBC CapitalI said, "we have conscientiously implemented the manufacturing power strategy, and CytoNiche is our investment in the field of new quality productive forces. This investment was realized through the AIC equity investment pilot program by ICBC Investment in collaboration with Beijing's local industrial investment platform. On this basis, ICBC has linked investment and lending to provide enterprises with a 'equity + debt' integrated financial service toolkit, ensuring continuous inflow of financial resources into technology companies. We will continue to be optimistic about CytoNiche's Chinese intelligent manufacturing paradigm output in the CGT (Cell and Gene Therapy) industry."

Mr. Zhu Ping, managing director of Jingguorui Fund stated, "as Beijing's municipal investment platform, we have high expectations for the pivotal role that CytoNiche will play in promoting the first domestically produced stem cell drug to market. Their technological engine not only reduces the cost of drugs but also establishes a complete closed loop from laboratory to GMP production. We look forward to seeing CytoNiche continuously empower the cell and gene therapy field, using Beijing as a fulcrum to accelerate the industrialization process of more cutting-edge drugs, allowing Chinese innovation to benefit patients worldwide, and jointly writing a Beijing chapter in the story of becoming a powerhouse in biomedicine."

Project Director of Guoxin Fund shared that "as a central state-owned enterprise fund, Guoxin Fund continues to increase its efforts in the strategic layout of the biopharmaceutical industry. CytoNiche's globally leading 3D cell scale intelligent manufacturing technology has prominent platform-based, innovative, and cutting-edge characteristics. It plays a key role in promoting the innovative development of China's cell therapy industry. Guoxin Fund will fully rely on the functional positioning of the state-owned capital operating company, empowering CytoNiche through the Guoxin Fund ecosystem to further build it into a world-leading upstream enterprise in the biopharmaceutical industry."

Mr. Xu Hao, head of healthcare investment at Yuanzhi Capital stated, "as a long-term value investor in multiple rounds of investment in CytoNiche, Yuanzhi Capital has witnessed the exponential impact of its 3D cell manufacturing technology, which is reshaping the mass production process for cell therapies. Our continued investment in this round is driven by firm confidence in the scalability of the technology: the large-scale 3D cell manufacturing platform is pushing boundaries and will empower a broader range of cell applications in the future. As an industry investor, Yuanzhi Capital will continue to deeply support CytoNiche’s global business expansion, strengthen its capabilities, jointly expand batch production capacity and application scenarios, and help CytoNiche become an international benchmark in the cell manufacturing industry."

Dr. Sun Lei from CMB International Capital said: "CMB International Capital has always been focused on the biopharmaceutical field, particularly disruptive technologies that can reshape the industry landscape. By innovatively integrating 'microcarriers + automated processes,' CytoNiche has successfully resolved the core paradox in the industrialization of cell therapy, marking a critical leap from experimental exploration to industrial-scale mass production. We especially value the strategic significance of their technology for the global market and look forward to CytoNiche continuing to lead the industrialization wave, accelerating the availability of cell therapies for patients worldwide."