XellSmart completes ￥400M in Series B, B+, and C1 financing, achieving market-driven funding for the fifth consecutive year

In January 2026, XellSmart (a Jiangsu Dual-Leadership Team Enterprise and a Gusu Major Innovation Team Enterprise; Roche Accelerator Member), a company specialized in developing clinical-grade, allogeneic, off-the-shelf iPSC-derived neural cell therapeutics for the treatment of central nervous system (CNS) diseases, announced the completion of four consecutive rounds of market-oriented financing—Series B, B+, and C1—totaling 400 million, marking the fifth consecutive year of securing market-driven funding.

The completed Series B and B+ rounds of market-oriented financing for XellSmart were led by 3SBio Group, with co-leadership from Tailong/Taikun Venture Capital and Asymchem, along with joint investments from C&D Emerging Industry Equity Investment, Suzhou Angel FOF, SW Fund, SincereVC, and Tenykin. Existing shareholders, including FreeS Fund, Qiming Venture Partners, LAV, and HSG (formerly known as Sequoia Capital China), continued to provide follow-on investments. The completed C1 round of market-oriented financing for XellSmart was led by CRHC Fund, with participation from Yuyao Industrial Investment.

The proceeds from this financing will support the advancement of several "China-first" or "world-first" allogeneic universal iPSC-derived cell-based therapeutics independently developed by XellSmart into pivotal validation clinical stages. Additionally, the funds will further enhance XellSmart's large-scale, standardized production capacity and quality management and control systems for its off-the-shelf neural cell therapeutics, ensuring the accessibility of XellSmart's universal cell-based therapeutics for future commercial applications.

Dr. Xiang Li, founder of XellSmart, graduated from the School of Life Sciences at Peking University and has dedicated 16 years to the research, development, and industrialization of iPSC-derived cell-based therapeutics. He has trained under several academicians and internationally renowned scientists in the field of iPSC-derived cells. As first or corresponding author, he has published over ten papers on iPSC-related research in internationally renowned journals such as Cell Stem Cell and Cell, with citations exceeding 2,000. Dr. Li subsequently held key R&D and senior management positions focused on stem cell-based drug development at publicly listed pharmaceutical companies in both the United States and China. Upon returning to China full-time, he founded XellSmart.

Since its inception, XellSmart has assembled a fully dedicated, internationally competitive professional team focused on the R&D of iPSC-derived cell-based therapeutics. The team covers the core aspects of R&D and industrialization for iPSC-derived neural cell drugs. Core team members hail from prestigious universities in China and abroad—such as Peking University, Tsinghua University, Fudan University, Shanghai Jiao Tong University, Tongji University, University of Wisconsin–Madison, Johns Hopkins University, and University of Michigan—as well as from renowned companies in the cell therapy industry. The team possesses cutting-edge stem cell therapy technologies and translational experience at both international and industrial levels.

XellSmart has established a portfolio of novel technologies and platforms with global independent intellectual property rights and international leadership. Centered on its core business, XellSmart engages in sustainable self-driven innovation, having filed over thirty invention patents in China and abroad, thereby building a global IP portfolio. It has independently developed clinical-grade iPSC-derived neural cell-based therapeutics—designated as "China-first" or "world-first"—for major or critical neurological diseases with clear unmet clinical needs, such as Parkinson's disease, spinal cord injury, and amyotrophic lateral sclerosis (ALS). These therapeutics have now entered registered clinical trial stages in both China and the United States.

XellSmart has independently constructed and operates a comprehensive hardware platform comprising an R&D center, a B+A grade GMP facility, and a quality control center, spanning over 5,000 square meters. For its multiple clinical-grade iPSC-derived cell-based therapeutic pipelines, XellSmart has completed core CMC development, established full-process clinical-grade manufacturing procedures and quality control systems, and accomplished formal GMP batch production for registered clinical trials of various GMP-grade iPSC-derived subtype-specific neural progenitor cell therapeutic products, as well as administration in multiple registered clinical trials across various centers.

XellSmart specializes in developing clinical-grade, allogeneic, off-the-shelf iPSC-derived cell therapeutics for the treatment of major or critical neurological diseases (CNS diseases) with clear unmet clinical needs. XellSmart has obtained eight officially approved Investigational New Drug (IND) clearances from both the Chinese National Medical Products Administration (NMPA) and the U.S. Food and Drug Administration (FDA). Multiple universal iPSC-derived neural cell therapeutics are currently in Phase I/II registered clinical trials, including those for:

Primary Parkinson's disease, the world's second most common neurodegenerative disease (Phase I/II registered clinical trial in China and Phase I registered clinical trial in the U.S.; lead center:  Beijing Tiantan Hospital, Capital Medical University, a National Center for Neurological Diseases, with Peking Union Medical College Hospital as a participating clinical center). As the responsible or leading organization, the project has received support from key national initiatives such as the National Technology Innovation Center for Biopharmaceuticals and major scientific and technological programs of Jiangsu Province.

Early-onset Parkinson's disease (Phase I/II registered clinical trial in China, featuring the "first-in-China" randomized double-blind controlled pivotal clinical design; lead center: Huashan Hospital, Fudan University, a national center for neurological diseases, with the Second Affiliated Hospital of Soochow University as a participating center). The lead center and clinical project are supported by major national brain science initiatives.

Multiple system atrophy with parkinsonism (Phase I/II registered clinical trial in China, expected to commence formal registered clinical trials in 2026).

Spinal cord injury (world-first therapeutic; Phase I registered clinical trials in China and the U.S.; lead center: The Third Affiliated Hospital of Sun Yat-sen University).

Amyotrophic lateral sclerosis (ALS) / motor neuron disease (world-first therapeutic and global orphan drug; Phase I/II registered clinical trial in China and Phase I registered clinical trial in the U.S.; lead center: Peking University Third Hospital). This marks the first independently developed iPSC-derived cell therapeutic from China to receive FDA certification and be granted global orphan drug designation.

Among these, the registered clinical trial conducted by XellSmart at the National Center for Neurological Diseases has enrolled over 10 patients with moderate-to-severe Parkinson's disease. Results indicate that the company's independently developed clinical GMP-grade allogeneic universal off-the-shelf iPSC-derived dopaminergic neural progenitor cell therapeutic (XS411 therapeutic injection) demonstrates favorable safety in the treatment of Parkinson's disease. In multiple enrolled patients with moderate-to-severe Parkinson's disease, following cell transplantation therapy, several efficacy indicators—including UPDRS motor scores and the duration of "on"/"off" periods—showed significant improvement trends. Patients experienced an average extension of several hours in "good on" time, with marked relief from the "off" state characterized by restricted mobility and significant limitations after previous medication failure. The daily duration of free movement and maintained high quality of life increased noticeably. Brain PET scans revealed significantly enhanced dopaminergic cell signals in the putamen region, further confirming the clear survival and functional integration of the transplanted cells in vivo. 

These registered clinical trial results validate the clinical feasibility of using clinical-grade allogeneic universal XS411 cell transplantation for Parkinson's disease and highlight the important potential clinical application value of targeted transplantation therapy using XS411 regenerative dopaminergic neural cell injection for the world's second most common neurodegenerative disease.

XellSmart is recognized as a leading enterprise under the Jiangsu Dual-Creation Team Program, a major innovation team enterprise in Gusu, a Shanghai Leading Talent Program of Eastern Talent Plan, and a distinguished enterprise under the Shanghai Chunshen Plan for high-level talent introduction. It has been consecutively recognized as a potential unicorn enterprise in China and Jiangsu Province, and has won the National Award for Disruptive Technology Innovation (highest honor) at the National Disruptive Technology Innovation Competition organized by the Ministry of Science and Technology for two consecutive years. XellSmart has been featured in multiple reports by Chinese media outlets such as Science and Technology Daily, Xinhua Daily, Guangming Daily, and The China Star Market.