Synaptic Medical Secures Nearly $60 Million in Series G Financing to Expand Comprehensive Electrophysiology Portfolio, Advised by Hyfinity Capital

VCBeat (WeChat: vcbeat) has learned that Synaptic Medical (“Synaptic Medical”) recently completed a Series G financing round of nearly $60 million. Huagai Capital led the investment, with participation from YuanBio Venture Capital and existing shareholder SIG. HAOYUE CAPITAL served as the exclusive financial advisor for this round.

Synaptic Medical, founded in Minnesota, USA in 2005 and establishing its wholly-owned subsidiary in Beijing in 2007, is a leading enterprise in the cardiac electrophysiology sector, driven by both innovation and internationalization. The cardiac electrophysiology industry primarily focuses on the diagnosis and treatment of tachyarrhythmias, such as atrial fibrillation. Atrial fibrillation is the most common persistent arrhythmia. Its prevalence increases with age, affecting up to 10% of the population aged 75 and older. Atrial fibrillation is a significant risk factor for cardioembolic stroke and is closely associated with conditions such as heart failure and hypertension, representing a critical challenge urgently needing resolution in the global field of cardiology.

With growing attention to arrhythmias such as atrial fibrillation and an aging population, the electrophysiology (EP) field is experiencing rapid development. Major international markets in Europe and the United States maintain annual double-digit growth rates. As the market with the greatest global potential, China’s EP market has reached nearly RMB 5 billion, with a compound annual growth rate exceeding 30%. The global EP market is projected to approach USD 10 billion by 2024. However, due to the complexity of procedural techniques, the steep learning curve for physicians, and the high performance requirements for EP devices and consumables, the global market has long been monopolized by giants such as Johnson & Johnson, Abbott, and Medtronic. Although domestic brands have been striving to compete over the past decade, more than 90% of the Chinese market remains firmly dominated by these international giants, leaving domestic brands with a very low market share.

Facing a landscape over a decade ago where China’s electrophysiology field relied entirely on imported products, Synaptic Medical established from its inception a commitment to match advanced American design and manufacturing technologies. By collaborating with top-tier experts domestically and internationally to drive innovative R&D, the company has pursued an independent product strategy characterized by unique design philosophies, technical features, and proprietary intellectual property rights. In recent years, Synaptic Medical has consistently captured market share from imported competitors with a compound annual growth rate of 40–50%, gradually achieving import substitution for its core products. Currently, Synaptic Medical boasts more than ten product lines dedicated to the diagnosis and treatment of arrhythmias. Its sales network covers nearly 800 hospitals across China. Furthermore, multiple product categories have obtained regulatory approvals in the United States, the European Union, and Japan, enabling commercial sales in these markets and earning recognition from local experts.

In 2020, Synaptic Medical established an innovation R&D center in California, USA, working in tandem with its Chinese R&D team for coordinated development. In the rapidly growing field of electrophysiology, Synaptic Medical will leverage its globally minded R&D team to continuously and rapidly develop innovative products. By deeply understanding the pain points in clinical applications, the company aims to create high-performance products and accelerate the replacement of imported devices as well as its internationalization efforts.

Sophia Wang, founder of Synaptic Medical, stated that domestically produced medical devices in China should not be mere imitations of imported products. Regardless of whether they are domestically made or imported, Chinese doctors and patients deserve access to the best products available globally. In the face of conflicts between commercial interests and customer benefits, Synaptic Medical has demonstrated the courage to make independent judgments on the industry’s development direction. The company is committed to leveraging the synergistic advantages of its R&D centers in China and the United States, exploring new mindsets and business models, and placing the most advanced electrophysiology equipment and consumables into the hands of physicians, thereby creating genuine social value. Ms. Wang expressed sincere gratitude for the strong support and recognition from investors, as well as the continued backing from existing shareholders. She also thanked HAOYUE CAPITAL, the partner for this financing round, noting that its project team exhibited exceptional efficiency and execution capabilities, along with profound and precise insights into the industry. This partnership ensured the high-quality completion of this funding round, laying a solid foundation for the company’s future growth.

Xu Xiaolin, Founding Partner and Chairman of Huagai Capital, stated that Huagai remains firmly bullish on the development of the electrophysiology sector in China. Synaptic Medical demonstrates strong competitiveness in product R&D and its domestic and international marketing networks, with its products earning high recognition from clinical experts and breaking the monopoly held by imported alternatives. Furthermore, Synaptic Medical is a company whose culture of “keeping promises and being reliable” creates an immediate positive impression. Founder Sophia’s persistent pursuit of technological innovation is admirable and embodies the team qualities and values that Huagai appreciates most. We are confident that Synaptic Medical will grow into a globally leading provider of electrophysiology devices and consumables. As the only company in China with a comprehensive product portfolio in electrophysiology, Synaptic Medical is poised to become a platform-based industry leader in the field.

Yin Jie, Partner at YuanBio Venture Capital, stated that China has over 12 million patients with atrial fibrillation (AFib). The market for cardiac electrophysiology medical devices used in AFib treatment holds immense potential, yet it also presents exceptionally high technical barriers. It remains one of the few niche markets still monopolized by imported brands, with a domestic localization rate below 10%. Sophia is a rare entrepreneur in China who possesses both an international perspective and a strong grounding in local realities. Over the past decade, we have witnessed Synaptic Medical’s journey from inception to its current state, growing stronger despite numerous formidable challenges. Therefore, we feel honored to have the opportunity to support entrepreneurs like Sophia, helping Synaptic Medical build an outstanding Chinese brand in electrophysiology, expand into global markets, and benefit the vast number of AFib patients.

Yan Qinglong, Partner at SIG, stated that from a market perspective, there is significant unmet clinical demand in the electrophysiology field, along with sustained growth potential. Sophia Wang is an entrepreneur with a global vision, characterized by open-mindedness and strong adaptability. Under her leadership, Synaptic Medical has built a highly innovative R&D team. As an early investor in the company, SIG is very optimistic about Synaptic Medical’s future development. We believe that Synaptic Medical is poised to become a game-changer, breaking the monopoly held by imported products in the industry.

Yang Zhenjun, Partner at HAOYUE CAPITAL, stated, “We are honored to have assisted Synaptic Medical in completing this round of financing. Electrophysiology is a field with exceptionally high product and technical barriers. Having worked in the industry for many years, I have had the privilege of witnessing Synaptic Medical’s transformation from an observer. In 2020, the domestic electrophysiology market size exceeded RMB 5 billion. As an international company driven by dual engines of market presence and R&D in both China and the United States, Synaptic Medical is committed to pursuing product quality and technological innovation. With support from Huagai Capital, YuanBio Venture Capital, and SIG in this financing round, the company will further accelerate the expansion and strengthening of its product portfolio, thereby consolidating its leadership position in the electrophysiology sector.”

Huagai Capital, established in 2012, is a private equity investment firm co-founded by a group of professionals from renowned domestic and international investment institutions. With the vision of “becoming the most trusted capital partner for entrepreneurs and investors,” the company focuses on private equity investments in three key sectors: healthcare, TMT (Technology, Media, and Telecom), and digital innovation, committed to driving small and medium-sized enterprises to grow into industry leaders. Currently, the firm manages assets totaling approximately RMB 20 billion.

YuanBio Venture Capital is an investment firm focused on early-stage and growth-stage opportunities in the healthcare and life sciences sector. Headquartered at Suzhou BioBAY, it maintains a global reach. Currently managing approximately RMB 5 billion in assets, YuanBio has invested in over 80 high-quality projects, primarily spanning new drug development, medical devices, in vitro diagnostics (IVD), and healthcare services. The firm has delivered substantial investment returns and has been repeatedly recognized as one of the Top 10 Venture Capital Funds in China’s healthcare sector and among the most active healthcare investors in the country. YuanBio brings together a team of seasoned professional investors and a global advisory board of leading scientific experts, possessing extensive experience in entrepreneurship, venture capital, and corporate operations within the biopharmaceutical industry and related fields. Leveraging its focused strategy and rich industry resources, YuanBio is committed to becoming one of the most successful healthcare and pharmaceutical venture capital funds in China.

SIG is a US-headquartered, globally leading quantitative trading financial firm. With its proprietary innovative and rigorous trading philosophy and technology, SIG is a global leader and innovator in high-performance, low-latency trading. Over the past 30 years, SIG has invested in markets worldwide, earning an international reputation particularly in the pricing and trading of financial derivatives. The company employs more than 1,800 people globally. SIG entered China in 2005, investing its own capital in Chinese innovative companies. For over a decade, it has focused on sectors such as China’s internet, healthcare, and consumer industries, having invested in more than 260 companies to date, with total investment exceeding USD 2 billion.

HAOYUE CAPITAL, established in January 2014, is dedicated to serving as a bridge connecting China’s healthcare industry with capital. Its research and transaction coverage spans multiple sub-sectors, including biopharmaceuticals, innovative medical devices, in vitro diagnostics (IVD) and precision medicine, healthcare services, and smart healthcare. The HAOYUE CAPITAL team comprises senior investment bankers with extensive experience in China’s healthcare sector. By closely monitoring market dynamics and investment trends in healthcare over the long term, the firm releases weekly healthcare investment reports and thematic research studies, offering HAOYUE’s perspectives on new policies and emerging frontiers.