Xin Zeyuan Medical Files IPO Prospectus: Pioneering Integrated Supply Chain Solutions in Endoscopy and Minimally Invasive Surgery

The Development of Domestic Endoscopes Has Entered the Fast Lane, and Domestic Substitution Is Becoming an Irresistible Trend as the Performance Gap Between Chinese and Foreign Products Narrows. According to Frost & Sullivan’s forecast, the domestic penetration rate of endoscopes in China will reach 18.3% by 2025 and is expected to increase to 35.2% by 2030.

However, in this process, if domestic manufacturers are to successfully capture market share previously firmly controlled by overseas companies and break through long-standing technical barriers, they must confront multiple challenges, including insufficient product differentiation, the need for greater market recognition, and a lack of completeness in the industrial chain.

Currently, China’s endoscopy supply chain market is characterized by complex hierarchies and low integration. Homogenized competition is intense, accompanied by imbalanced resource allocation, relatively weak independent R&D capabilities, and inconsistent product pricing and quality. These issues ultimately point to a core pain point: the upstream supply chain lacks sufficient awareness of clinical application support and service capability.

Given the current fragmentation and lack of effective integration in China’s endoscopy supply chain market, finished-product manufacturers inevitably face increased costs and reduced efficiency. Against this backdrop,HANGZHOU XINZEYUAN PRECISION PRODUCTS CO.,LTD (hereinafter referred to as “XinZeyuan”)Determined to build a supply chain platform, we establish a high-standard quality management system through production support and technical assistance, providing customized one-stop solutions for finished product manufacturers to help enhance their market competitiveness.

HANGZHOU XINZEYUAN PRECISION PRODUCTS CO.,LTD has been deeply engaged in the field of minimally invasive endoscopy for many years. Leveraging its robust manufacturing and R&D capabilities, the company has meticulously established a comprehensive support service system featuring “one supply chain platform + four product modules.” Its product portfolio primarily covers four major segments: components for flexible endoscopes, components for rigid endoscopes, components for endoscopic surgical consumables, and components for minimally invasive surgical instruments.

The company’s vision is to build a “world-class minimally invasive medical device supply chain platform,” providing robust support for the steady advancement of domestic medical equipment enterprises. To this end, Hangzhou Xinzeyuan Precision Products Co., Ltd. is committed to offering CDMO full-process collaboration—from design prototyping and quality validation to regulatory registration assistance and mass production—for customers with diverse needs, aiming to reduce costs and enhance efficiency while ensuring product quality.

Currently, Xinzeyuan’s domestic business segment has established deep partnerships with over 400 finished-product manufacturers. Meanwhile, the company’s sales network spans all major continents, with products exported to more than 20 countries and regions, including the United States, Germany, the Netherlands, Russia, Brazil, Mexico, South Korea, and India. Looking ahead, Xinzeyuan will continue to expand its international presence, consistently enhancing product quality and service standards, and is committed to delivering “high-quality, high-performance, and cost-effective” excellence to the global minimally invasive medical and endoscopic CDMO sectors.

The technical barriers in China’s domestic endoscope industry are mainly reflected in R&D capabilities, comprehensive industrial chain layout, and precision manufacturing processes. To establish an efficient supply chain system and break reliance on imports, it is necessary to integrate resources across multiple sectors.

For over a decade, Xinzeyuan has been deeply engaged in the supply chain sector. Evolving from its early production of snake bones, valve body assemblies, and core components, the company has now established endoscopic CDMO (Contract Development and Manufacturing Organization) as its strategic focus, expanding its product and service offerings to the broader field of general surgery with a core emphasis on minimally invasive procedures. Adhering to a foundation of “R&D + Manufacturing” and prioritizing “Products + Clinical Application” as its key breakthrough direction, Xinzeyuan is committed to becoming a pioneer in the fields of endoscopy and minimally invasive surgical instruments.

XinZeyuan Endoscope CDMO Solution leverages a “supply chain platform” as its foundation, offering two tailored options—high-end functional endoscopes and cost-effective, accessible endoscopes—by integrating self-developed multi-functional endoscope bodies with diverse image processing capabilities, all aligned with customer and clinical needs. The product portfolio covers gastrointestinal, bronchial, urological, and ear-nose-throat (ENT) endoscopes, addressing the multi-modality and cross-departmental application requirements of diverse customers through its two core advantages: multifunctionality and low cost.

High-end functional endoscopes feature multispectral 1080P Full HD image display, delivering clear and detailed visuals. The stiffness of the insertion section is adjustable via tension control knobs on the operating section. Additionally, customized sizing services are now available, with design, R&D, manufacturing, and debugging tailored to customer requirements to meet specific adaptation needs.

Economically inclusive endoscopes feature clear 720P white-light image display and hold a core advantage in manufacturing cost. They utilize energy-efficient, stable, near-net-shape powder metallurgy materials, enabling cost control through fully in-house component supply. With extensive experience in the in-house design and fabrication of tooling, fixtures, and molds, along with strict quality control, these devices allow for flexible optimization of product structure based on customer and clinical application needs, ensuring excellent operability and comprehensive after-sales maintenance services.

A wide variety of endoscopic consumables play critical roles in biopsy, hemostasis, dilation, and resection during endoscopic examination or treatment. Through years of development, HANGZHOU XINZEYUAN PRECISION PRODUCTS CO.,LTD has established a comprehensive quality inspection system and a high-caliber R&D team, possessing significant advantages in the research and production of endoscopic consumables. The company has developed more than ten specifications across four major product categories: hemostatic closure devices, biopsy instruments, EMR (Endoscopic Mucosal Resection) devices, and dilation balloons. Having partnered with numerous industry-leading enterprises, it provides professional, precise, and comprehensive OEM manufacturing services for endoscopic consumables.

For many years, HANGZHOU XINZEYUAN PRECISION PRODUCTS CO.,LTD has adhered to the product technology philosophy of “high precision, high quality, and low cost,” continuously optimizing structures to meet supporting requirements. The company’s core products, disposable biopsy forceps and hemostatic clips, feature an ultra-smooth plastic coating. Their length specifications largely cover market demands; the opening diameters of the hemostatic clips mainly include 9mm, 11mm, 14mm, and 16mm, with lengths available for customized specification. The disposable snares offer outstanding performance, allowing for the design of snare shapes, rotation features, and other attributes based on customer needs. Additionally, the company can collaborate on the custom production of various disposable surgical instruments, including disposable mucosal incision knives, stone retrieval baskets, urological sterile guidewires, ureteral access sheaths, ureteral stents, and foreign body forceps.

A complete rigid endoscope system comprises a rigid endoscope and minimally invasive surgical instruments. Its core components, including the tube body and valve body, play critical roles, requiring a high degree of precision and expertise in their design, manufacturing, and assembly.

Over the years, HANGZHOU XINZEYUAN PRECISION PRODUCTS CO.,LTD has been dedicated to building a supply chain platform for minimally invasive medical devices. In its rigid endoscopy segment, the company initially focused on the R&D and manufacturing of core components. To date, it has successfully mastered the production of key parts for both standard and complex endoscopes, including shafts, valve bodies, and inner and outer sheaths (excluding light source systems). The company offers customized OEM/ODM services for various endoscopic instruments, such as resectoscopes, cystoscopes, laparoscopes, hysteroscopes, arthroscopes, and transforaminal endoscopes, tailored to meet customer requirements.

Meanwhile, leveraging its mature R&D design and manufacturing expertise, HANGZHOU XINZEYUAN PRECISION PRODUCTS CO.,LTD has continuously deepened its presence in the minimally invasive surgery sector in recent years. Its product portfolio has expanded to include ultrasonic scalpels, multi-fire clip appliers, electrocoagulation forceps, clip appliers, vessel sealing forceps, various surgical electrodes, and graspers, supporting OEM/ODM services for cardiovascular, neurosurgical, peripheral vascular, and general major surgeries. The company offers a diverse range of instruments suitable for various surgical scenarios, significantly reducing patient trauma while enhancing surgical precision and safety.

After years of accumulation, Xinzeyuan has established R&D centers in Hangzhou and Shenzhen, bringing together more than 40 senior R&D professionals with extensive experience in the field of endoscopy. The team possesses strong capabilities in product innovation and tackling key technical challenges.

Meanwhile, the company operates two major production bases in Qingshanhu and Changhua Industrial Park, covering a total area of over 10,000 square meters. Equipped with more than 100 high-end production devices and featuring independent GMP-certified cleanrooms, it offers over 30,000 types of component parts and more than 3,200 types of assemblies. These products are applied across surgical scenarios in all clinical departments, meeting the diverse needs of different specialties and clinical practices.

In July 2024, the company announced that it had secured over RMB 100 million in Series B financing, led by Qiming Venture Partners and followed by Paradise Silicon Valley.

In recent years, HANGZHOU XINZEYUAN PRECISION PRODUCTS CO.,LTD has achieved remarkable success in technological innovation and intellectual property protection. The company has filed a total of 71 patent applications, with 56 patents granted to date, including 25 invention patents, 39 utility model patents, and 7 design patents. Additionally, 15 invention patent applications are currently under examination.

In addition, the company has filed applications for 18 trademarks and one work of copyright registration, covering key technologies such as the “Segmented Disposable Ureteroscope Articulation Section,” “Endoscope Bending Tube,” and “Adjustable-Spacing Endoscope Articulation Structure.” These measures not only safeguard its innovative achievements but also significantly enhance its market competitiveness.

Every step forward in the domestic substitution of endoscopes relies on the support of a stable supply chain system. Over the past decade, Xinzeyuan has grown alongside numerous outstanding downstream Chinese enterprises, accumulating profound expertise in manufacturing processes and product understanding, while continuously driving technological innovation. It has become a supply chain platform enterprise for minimally invasive medical devices, integrating capabilities in precision machining, polymer materials, structural design, and process engineering. In the future, Xinzeyuan will continue to develop along the business path of “one core platform, four business modules,” serving the field of minimally invasive medicine and contributing to the advancement of China’s medical device industry.