Beijing Med-Zenith Medical Scientific Corporation Limited Secures Over RMB 1 Billion in Series C Financing

VCBeat (WeChat: vcbeat) learned at the earliest opportunity that Beijing Med-ZenithHealthcareTechnologyCo., Ltd. (hereinafter referred to as“Med-Zenith”）Announced securing overRMB 1 billion Series CFinancing. This round was co-led by Tsing Song Capital and Lanxin Asia, with follow-on investments from institutions including Yingrui Capital, Yuexiu Industrial Fund, and Weijing Capital. Sanjiang[Capital] served as the exclusive financial advisor for this round of financing.This transaction is one of the largest by value in the medical device sector this year.

This round of financing will be primarily used to upgrade and modernize production lines, intensify R&D efforts, accelerate clinical trials and product registration, expand sales networks, and enhance commercial promotion, so as to better serve patients’ diagnostic and treatment needs for high-quality medical devices and high-end consumables.

Meng Jian, founder of Med-Zenith, stated, “We are deeply honored to have gained the recognition and support of renowned domestic and international investment institutions and all existing shareholders. Through independent innovation, Med-Zenith has mastered core technologies in the fields of surgical atrial fibrillation treatment, interventional therapy for congenital heart disease (CHD), and biotissue repair organs, thereby filling technological gaps in the treatment of related diseases both in China and abroad. The company has proposed therapeutic concepts of ‘prenatal screening, neonatal treatment, and lifelong intervention’ for CHD; ‘combined heart-brain treatment and stroke intervention’ for arrhythmias; and ‘anatomical correction and hemodynamic improvement’ for valvular heart disease. To date, the company has successfully developed 19 innovative products, among which 11 have obtained registration with China’s National Medical Products Administration (NMPA), and three have secured CE marking in Europe. Many of Med-Zenith’s products are first-of-their-kind in China, internationally leading in technology, and represent the only domestic alternatives to imported products for surgical atrial fibrillation treatment and interventional therapy for congenital heart disease. Following the successful completion of this financing round, the company will focus on strengthening market development for its products, deepening scientific research and innovation, and reinforcing its market and technological leadership in cardiac surgical products, interventional products, and biological products.”

Dr. Zhang Song, Founding Partner of Tsing Song Capital, stated, “It is a great honor to serve as the lead investor and participate in this round of financing alongside several internationally renowned investment institutions. With the high prevalence of cardiovascular diseases in China, there is substantial clinical demand for high-quality cardiovascular devices, and we remain firmly confident in the development of this field. Over the past decade, Med-Zenith has launched a series of competitive products, leveraging its profound technological expertise and deep understanding of clinical needs. We are highly confident in partnering with the company to meet challenges head-on, supporting its growth into a leading enterprise in the cardiovascular device sector both in China and globally, driving continuous innovation, and truly benefiting patients.”

Mao Chen, Managing Director of Lanxin Asia, stated, “There are over 2 million prevalent cases of congenital heart disease in China. Currently, there is a lack of interventional stent and valve products suitable for pediatric use. Med-Zenith’s internationally pioneering Pul-Stent meets urgent clinical needs, while the company has also developed a series of domestically first-to-market products in the cardiovascular field to address market demands. As per capita income in China continues to rise and the population ages, demand for high-quality medical devices will increase. The Chinese cardiovascular market holds significant growth potential in the future. The founder and team of Med-Zenith all have medical backgrounds in the cardiovascular field, possess a thorough understanding of clinical needs, and demonstrate strong product development capabilities. The company has achieved remarkable results over years of development. Through this collaboration, Lanxin Asia aims to promote complementary advantages between capital and industry strengths, support Med-Zenith’s strategic development, and help establish it as one of the leading brands in China’s cardiovascular industry.”

Lu Rong, General Manager and Managing Partner of Yuexiu Industrial Investment Fund, stated: “The cardiovascular sector has consistently been the sub-sector with the largest market capacity within the high-value medical consumables industry. Compared to niche markets such as coronary intervention, which face pressure from volume-based procurement, the company focuses on blue-ocean segments with significant growth potential, including structural heart disease, congenital heart disease, and arrhythmia. It is committed to the continuous research and development of high-quality products featuring independent intellectual property rights and innovative spirit. The future of the cardiovascular field will be characterized by collaboration between cardiologists and cardiac surgeons, with the Multidisciplinary Team (MDT) model becoming the prevailing trend in diagnosis and treatment. With over a decade of profound expertise in both cardiovascular intervention and minimally invasive cardiac surgery, the company is well-positioned for long-term growth. Yuexiu Industrial Investment Fund is optimistic about the company’s prospects and, leveraging Yuexiu Group’s industrial resources in South China, aims to accelerate its development into a nationally renowned cardiovascular device company. We hope the company will continue to explore new frontiers, scale new heights, and drive continuous innovation to benefit patients!”

Lu Xu, Partner at SAIF Partners, an existing shareholder of Med-Zenith, stated: “Medical devices related to arrhythmic heart disease, congenital heart disease, and valvular heart disease are currently experiencing a period of rapid growth in China, with surging demand for high-quality innovative domestic products. Med-Zenith boasts strong R&D capabilities and cross-platform technological reserves, with multiple blockbuster products either already launched or poised for imminent market entry, firmly securing the R&D high ground in its niche markets. We highly recognize the innovation and execution capabilities of Mr. Meng and his team. Both new and existing investors will continue to support the company and its team, consolidating its leading position and accelerating its development.”

Deng Xuan, Partner at Sanjiang Capital, stated: “Sanjiang Capital is honored to have assisted Med-Zenith in the restructuring of its red-chip architecture and the completion of its Series C financing. Med-Zenith is a leading enterprise in China’s cardiovascular medical device sector, renowned for its strong innovation capabilities and comprehensive product portfolio. Over the past year, the company has secured regulatory approvals for multiple blockbuster products, entering a phase of rapid growth. With capital support, we believe Med-Zenith will leverage its deep understanding of clinical needs and strengths in product innovation to launch more highly anticipated flagship products, achieving remarkable success in the field of cardiovascular medical devices.”

Med-Zenith, established in 2005 and located in the Tianzhu Comprehensive Bonded Zone in Shunyi, Beijing, is an innovative high-tech enterprise dedicated to developing high-quality medical devices and premium consumables for cardiovascular diseases, as well as providing comprehensive healthcare solutions.

Tsing Song Capital is a specialized private equity investment firm focused on the biotechnology and healthcare sectors. Its management team possesses extensive expertise in the medical industry and private equity investment, committed to growing alongside the most innovative biopharmaceutical companies and driving technological and commercial innovation in China’s life sciences and healthcare industries. Since its establishment, Tsing Song Capital has adhered to a research-driven investment strategy, deeply cultivating areas such as biotechnology, pharmaceuticals, medical devices, innovative healthcare services, and the intersection of the broader health industry with frontier technologies, while actively participating in the development of its portfolio companies. The fund has completed investments in numerous industry-leading enterprises, including SinoCellTech (688520.SH), Ascentage Pharma (6855.HK), United Imaging Healthcare, Haodf Online, Tianjing Hangzhou, ClearMed Biotech, Sino Biological, Medjaden Translational Medicine, and Clarity Gene.

Lantern Asia Investment Group (“Lantern Asia”), established in 1993, is one of the first international private equity firms to invest in China. The firm maintains offices in Hong Kong, Shanghai, Beijing, and Guangzhou. It primarily invests in high-growth-potential companies with high barriers to entry that are in their expansion phase, focusing on sectors such as high technology, retail, consumer products and services, and healthcare. Lantern Asia manages approximately USD 4 billion in assets under management. Its investor base includes globally renowned institutional investors, independent private banks, university endowments, insurance companies, public and private pension funds, and family offices. The firm’s management team comprises over 30 seasoned professionals with extensive investment experience across China and Asia. For portfolio companies, Lantern Asia’s investment and post-investment teams provide support in formulating long-term market strategies, financing solutions, and daily operational plans, among other needs.

SAIF Partners (SAIF) is a leading private equity firm providing capital support to high-growth enterprises in the Asia-Pacific region, with offices in China and India. SAIF currently manages investment funds totaling nearly RMB 6 billion and USD 4 billion. Its investment focus primarily covers consumer products and services, technology, media, telecommunications, financial services, healthcare, tourism, and manufacturing. SAIF is mainly engaged in project investments in China (including Hong Kong and Taiwan) and India.

Guangzhou YUEXIU Industrial Investment Fund Management Co.,Ltd. (hereinafter referred to as “YUEXIU Industrial Fund”) was established in 2011 and serves as the private equity investment management platform under Guangzhou Yuexiu Group, the largest municipal state-owned enterprise in Guangzhou. As of December 2020, the company’s cumulative assets under management exceeded RMB 80 billion. Through years of market-oriented and professional development, the company has established a business portfolio encompassing equity investment, mezzanine investment, and fund-of-funds investment, emerging as a leading industrial capital operator in the Guangdong-Hong Kong-Macao Greater Bay Area.

Sanjiang Capital is China’s earliest new-generation investment bank dedicated to the biotechnology and healthcare sectors. Founded in early 2008 by a team of senior bankers from top-tier international investment banks, the company is headquartered in Shanghai.

Sanjiang’s financial advisory services include equity financing advisory and mergers and acquisitions (M&A) advisory. Since its inception, Sanjiang has served over one hundred clients, earning a strong reputation and positive standing in the market.