Thinking Biomed Completes Nearly RMB 100 Million Seed Funding Round to Advance Off-the-Shelf iPSC-CAR-NK Immunotherapies

Recently, Stem Cell Biotechnology (Beijing) Co., Ltd. (hereinafter referred to as "Stem Cell Bio") announced the completion of a nearly RMB 100 million seed financing round. This round of financing was jointly led by Rongyu Capital and Yunrui Capital, with strategic investment participation from Qiuchen Medicine.

The funds raised will be mainly used to establish a GMP-grade production and quality control workshop for standardized cell manufacturing, develop CAR (chimeric antigen receptor) technologies that can be loaded onto various immune cells, and advance the industrial development of pluripotent stem cell-derived drugs. At the same time, efforts will focus on planning next-generation off-the-shelf immune cell therapy solutions and conducting research on novel targets.

Xinchuan Biotech was founded in October 2021. Its founding team consists of authoritative experts from the fields of life sciences and clinical medicine, committed to becoming a globally leading platform for the research, development, and production of cell-based drugs. The company focuses on developing universal off-the-shelf immune cell therapies to improve the accessibility of cell-based treatments for cancer. Leveraging its innovative iPSC-CAR-immune cell therapy and organoid high-throughput screening technology, Xinchuan Biotech has completed the development of multiple iPSC-CAR-NK product pipelines targeting high-incidence cancers such as lung cancer, liver cancer, colorectal cancer, and B-cell lymphoma.

In June 2021, the news of "1.2 million yuan per injection for anti-cancer drugs" went viral. The miraculous efficacy of CAR-T drugs but their extremely high prices sparked widespread discussion. Reportedly, the pricing of CAR-T drugs abroad is around 400,000 USD, while the pricing of the two drugs approved for marketing in China is 1.2 million yuan and 1.29 million yuan RMB respectively, greatly limiting the accessibility of cell therapy.

In addition, currently marketed CAR-T therapies are autologous cell products, which require the extraction of a patient's own immune cells. These cells are then processed outside the body before being reinfused into the same patient. This process has several pain points, including long preparation times, difficulties in standardizing the manufacturing process, and challenges in targeting solid tumors.

Drug efficacy and high costs are two major challenges facing cancer patients. As a result, CAR-NK therapy, with its affordable pricing and reduced reliance on individual customization, has emerged as a new star in the field of cell therapy.

Advantages of CAR-T/CAR-NK Immunocyte Therapy in Solid Tumor Treatment

CAR-NK Therapy, as an allogeneic universal cell therapy, has the potential for large-scale production and has shown preliminary clinical evidence of effectiveness, offering hope to address issues of recurrence and cost. Based on different sources of NK cells, CAR-NK therapies can be divided into iPSC-derived CAR-NK therapy, adult CAR-NK therapy, etc.

iPSCs are pluripotent stem cells reprogrammed from somatic cells, which can differentiate into various functional somatic cells in vitro, including NK cells, and are easily equipped with self-developed CARs. In contrast, iPSC-derived CAR-NK therapy has the advantages of high purity, scalable preparation, and strong cytotoxicity.

Xinchuan Biotech is focusing on this highly advantageous iPSC-derived CAR-NK therapy. The company utilizes iPSC technology to differentiate iPSCs into NK cells, and chimeric tumor-specific antigen receptors are introduced onto the surface of NK cells, enabling them to specifically recognize and destroy cancer cells. This approach demonstrates significant efficacy in the treatment of solid tumors and holds broader clinical applications.

Xinchuan Biotech produces and develops iPSC-CAR-NK therapy according to pharmaceutical standards, targeting surface antigen sites of solid tumors. It screens and prepares highly efficient and safe CAR fragments. Through optimized processes and development pathways, it completes the production of a stable full set of products within one month. At the same time, relying on standardized process procedures, the purity and quality of cellular drugs can reach clinical usage standards. Focusing on high-incidence cancers such as lung cancer, liver cancer, colorectal cancer, and B-cell lymphoma, Xinchuan Biotech has developed a highly integrated universal CAR platform with advantages including controllable production, safety and efficacy, high yield and cost-effectiveness, and no waiting required.

Dr. Wenjun Zhang, Co-founder & Chief Medical Officer of Xinchuan BiotechHas rich experience and cutting-edge research achievements in immunotherapy, the research and clinical application of pluripotent stem cells, and the development of CAR. The team is responsible for the Key Research and Development Program of the Ministry of Science and Technology - Special Project on Stem Cell Research and Repair.

Dr. Zhang Wenjun stated: "Xinchuan Biotech's iPSC-CAR-NK technology addresses the issue of allogeneic immune cell infusion, achieving standardization and productization of cell therapy; precise antigen recognition and reduced toxic side effects enhance the safety of cell therapy; parallel multi-channel tumor killing mechanisms improve the efficacy of cell therapy. Compared with current CAR-T technology, it has a broader patient population, higher safety, more economical pricing, and a wider range of application prospects. We are honored that at our inception, we have attracted significant attention from senior investment institutions in the biotech field and ChosenMed, a leading company in the field of cancer companion diagnostics, jointly supporting all aspects of precision oncology diagnosis and treatment."

Rongyu Capital Peng Jian"It is reported that tumor treatment is a very large细分 market in the medical field. In 2020, among the cancer types in China, the top 10 were all solid tumors, with an overall cancer mortality rate of 65.6%, more than twice that of the United States. Research has confirmed that iPSC-derived NK cells show stronger anti-tumor activity after gene editing. XinChuan Biotech has strong scientific research capabilities, and its developed iPSC-CAR-NK technology has obvious advantages in biological activity, stability, economy, and application scope, with the potential to occupy an important position in this field."

Dr. Wang Dongliang, Co-founder & Chief Medical Officer of ChosenMed"As a national high-tech enterprise specializing in the field of precision oncology, ChosenMed's testing services cover multiple areas of cancer diagnosis and treatment applications, including early cancer screening, companion diagnostics, dynamic monitoring, and prognostic evaluation. In terms of cancer treatment, ChosenMed has been seeking suitable ecosystem partners. The Xintong Biotech team possesses globally leading technology and vision, and shares the same pursuit as ChosenMed: to benefit cancer patients clinically. This synergy is bound to create a chemical reaction with ChosenMed’s core business, ultimately benefiting cancer patients. Therefore, we have high expectations for Xintong Biotech’s future and will support its rapid development in clinical resources, management, and technology, jointly achieving the ‘testing, diagnosis, and treatment’ integrated closed-loop in precision oncology."

Xinchuan Biotech was founded in October 2021, with its headquarters located in Beijing Economic-Technological Development Area. The company's founding team members have been deeply engaged in the field of stem cell research for over a decade and have already achieved abundant research results in the field of cell therapy; the core members are all authoritative experts from the fields of life sciences and clinical medicine. Based on its comprehensively innovative iPSC-CAR-NK immune cell therapy and organoid high-throughput screening technology, Xinchuan Biotech has laid out multiple CAR-NK product pipelines targeting high-incidence cancers such as lung cancer, liver cancer, colorectal cancer, and B-cell lymphoma, striving to become a globally leading cell drug research, development, and production platform that facilitates the development of original immunocyte drugs for curing solid tumors.

Shenzhen Rongyu Capital Management Co., Ltd. was the first to propose a "financial capital + industry knowledge capital" dual-driven business model, focusing on investment in the biopharmaceutical and hard technology sectors. Particular attention is given to cell therapy, immunotherapy, and China-based R&D-oriented technology enterprises as substitutes for imported products. The core team of Rongyu Holdings led the entire process of investing, acquiring, controlling, and operating Boya Bio-pharmaceutical (SZ.300294), transforming it from a company valued at 100 million yuan to a publicly listed company with a market value of 20 billion yuan. This set a precedent for private equity firms holding controlling stakes in listed companies within the industry, delivering substantial returns for investors. Since commencing investments in 2017, the company has invested in numerous well-known projects such as JD Logistics, Mabwell, Granus Bio, Doppler Technology, and PowerLeader Computers. To date, four projects have been completed and listed or passed review, and multiple projects are expected to file for IPO in 2022.

Zhejiang Yunrui Asset Management Co., Ltd. is an emerging investment firm that focuses on key industries and sectors such as the digital economy, healthcare, enterprise services, and technological innovation. Adhering to the principles of "value investing" and "research-driven" strategies, the company is equipped with a professional investment research team and a comprehensive management system. It continuously uncovers high-quality investment opportunities, consistently creating value for investors. Since its establishment, the company has invested in numerous high-profile projects including Tongcheng-Elong, Tencent Music, Biocytogen, JD Logistics, and Hive Technology, generating substantial investment returns for its investors.

Chasing Medicine, based on next-generation gene sequencing and advanced data mining technologies, relies on projects such as the "China Tumor Gene Atlas Plan" and the "Big Data Platform for Precision Oncology." By deeply integrating gene testing with artificial intelligence, it focuses on developing diagnostic products in the field of liquid biopsy for tumors and their intelligent iterative upgrades. At the same time, it continuously explores and discovers baseline and specific biomarkers for tumors in the Chinese population to support the development of anti-tumor drugs. It has successfully passed the CAP (College of American Pathologists) certification and achieved full marks in more than a hundred external quality assessments organized by authoritative domestic and international institutions such as NCCL, EMQN, and CAP. The quality management level of its medical laboratory has reached the highest international standards.