LeKang JiaRun Completes Tens of Millions of RMB in Angel Funding to Accelerate Anti-Tumor Innovative Drug Development and Files IPO Prospectus

VCBeat has learned at the earliest opportunity that,Lekang Jiarun Biopharmaceutical Technology (Hangzhou) Co., Ltd. (hereinafter referred to as “Lekang Jiarun”)Announced the completion of a tens-of-millions-yuan angel financing round. This round of financing was led byYuanxin Technology GroupLead Investor,Citron CapitalCo-investment,ROBE CAPITALServed as financial advisor. The funds will be used for the R&D of innovative drugs, enhancing team capabilities and market expansion.

On May 21, Lekang Jiarun held its corporate financing launch event in Hangzhou under the theme “Building Momentum for Long-Term Success and Win-Win Cooperation.” At the event, the company invited distinguished guests, including representatives from renowned pharmaceutical companies, investment institutions, and R&D personnel from prestigious universities, to witness the successful completion of its angel-round financing and the announcement of subsequent major strategic initiatives. During the conference, Lekang Jiarun announced the successful closure of its angel-round financing, launched its initial public offering (IPO) plan, and signed agreements for major project collaborations, laying a solid foundation for the future promotion and commercialization of its products.

Mr. Song Yehui, Chairman of Lekang Jiarun

Professor Chen Dawei, Chief Scientist at Lekang Jiarun, Founder of Baiyintai, and Former Dean of the School of Pharmacy at Shenyang Pharmaceutical University

Academician of the Chinese Academy of Engineering, Vice Dean of the School of Pharmaceutical Sciences at Peking University, Professor Zhang Qiang

Lekang Jiarun was established in March 2022, primarily engaged in the research and development and market expansion of anti-tumor drugs, clinical resource management, and the service application of innovative drugs, thereby building a full-chain industry encompassing “patient recruitment + patient management + oncology medical services.” Through close collaboration with domestic branded pharmaceutical chain enterprises, medical diagnosis and treatment institutions, and internet pharmaceutical platforms, the company has established a nationwide sales network covering more than 70 commercial companies and over 10,000 pharmacies.

Lekang Jiarun is committed to becoming a leading pharmaceutical group in China that integrates R&D and sales. Leveraging its subsidiary, Hangzhou Baiyintai Pharmaceutical Technology Co., Ltd., as the main entity for innovative drug R&D, it has established a core technological advantage in innovative formulations.Antitumor Platinum-Based Prodrug Technology Platform, Nucleic Acid Drug Delivery System Technology Platform, Peptide Non-Injectable Formulation Technology PlatformThree Major New Drug R&D Platforms. Hangzhou Baiyintai has appointed Professor Zhang Qiang, an academician of the Chinese Academy of Engineering and Deputy Dean of the School of Pharmaceutical Sciences at Peking University, as Strategic Advisor for its new drug R&D division.

Among these initiatives, the platinum-based prodrug liposome technology platform is led by Professor Chen Dawei, Chief Scientist at Lekang Jiarun, Founder of Baiyintai, and former Dean of the School of Pharmacy at Shenyang Pharmaceutical University. Baiyintai’s new drug R&D was established leveraging the scientific research background of Shenyang Pharmaceutical University, with a corporate development strategy focused on translating scientific achievements into practical applications, while engaging in innovative drug development and technical collaborations. Professor Chen has long served as an expert reviewer for the National Medical Products Administration (NMPA), and his team holds multiple related patents along with several Class 1 and Class 2 new drug projects. Professor Chen was also consecutively included in the “2022 Global Scholars Academic Influence Rankings” and the “2023 Global Scholars Academic Influence Rankings.”

According to data released by the National Cancer Center, new cancer cases in China account for 23.7% of the global total, far exceeding those in other countries. Currently, 70%–80% of chemotherapy regimens in China are platinum-based or include platinum compounds as part of combination therapy. A prodrug is a pharmacologically inactive compound that exerts its therapeutic effect only after undergoing biotransformation within the body. It typically lacks direct pharmacological activity and is converted into an active drug through metabolic or enzymatic reactions, thereby enhancing drug selectivity and preventing inactivation before reaching the target. Tetravalent platinum complexes with axial ligands serve as prodrugs of active divalent platinum; they exhibit greater structural stability, lower toxicity, and improved cellular uptake of platinum.

Leveraging its platinum-based prodrug liposome technology platform, Lekang Jiarun will develop a new generation of platinum drugs by optimizing the structure of divalent platinum compounds to create tetravalent platinum prodrugs. These prodrugs exhibit greater chemical stability and improved safety profiles. The structural modification enhances lipid solubility, thereby improving the druggability of the liposomal formulation. Encapsulated within liposomes, the tetravalent platinum prodrugs passively target tumor cells. Upon conversion to divalent platinum, the dissociation of newly added axial ligands consumes intracellular glutathione and inhibits drug efflux, thereby achieving targeted antitumor effects and reversing drug resistance, resulting in safer and more effective therapy.

In addition, Lekang Jiarun also possesses capabilities in new drug research and development.Advanced formulation technology platform, non-injectable delivery technology platform for hypoglycemic peptides, and multiple R&D pipelines including antiviral mRNA vaccine delivery. R&D efforts have also been carried outCRO Services and Exploration of Generic Drug R&DBy leveraging BioinTech’s resources in new drug development, Lekang Jiarun has established a comprehensive oncology drug industry chain spanning upstream R&D, midstream product manufacturing, and downstream marketing channels, thereby achieving an integrated “production-sales-R&D” model for innovative drugs.

In terms of commercialization, Lekang Jiarun drives the R&D of its self-selected pipeline through patient full-process management services, providing scientists’ teams with one-stop services ranging from funding to sales. It not only owns its own commercial company, but also collaborates withYuanxin Technology, Gaoji Health, Lepu Ruikanghas established partnerships with dozens of enterprises. Furthermore, it closely aligns with clinical needs by launching the collaborative promotion of 2–3 blockbuster products annually, thereby meeting the rapid growth demands of these enterprises.

It is reported that Lekang Jiarun’s initial products have already achieved scaled revenue in the off-hospital DTP pharmacy market for clinical oncology medications, as well as in other prescription drug pharmacy channels. The company plans to expand into consumer healthcare sectors this year, including respiratory health, reproductive health, psychiatric and anesthetic drugs, and medical aesthetics.

Amidst the trend of product diversification, Lekang Jiarun has proactively structured its business planning to deliver digital solutions that address the pain points pharmaceutical companies encounter in product promotion. Centered on patients, digital marketing will empower the entire sales process. On the patient side, a carrier platform will be established to assist patients in scientifically managing their treatment, thereby improving adherence. By building patient communities, the platform aims to instill greater hope and confidence, while tailoring patient rights and benefits to match the disease management needs of different patient groups, thus lowering barriers to medication access. On the physician side, a platform will be developed to facilitate diagnostic and therapeutic interactions with patients, accumulate data, and conduct robust medical data analysis, thereby enabling sales scenarios such as internet healthcare and pharmaceutical e-commerce.

For this round of financing,Song Yehui, Founder of Lekang JiarunStatement: I extend my sincere gratitude to Yuanxin Technology Group and Citron Capital for their support, as well as to ROBE CAPITAL for its guidance throughout the financing process. Through close collaboration and complementary strengths with Lekang, Yuanxin Technology is committed to enhancing patient-centric full-process management services and driving the transformation of new drug R&D, striving to establish an integrated “production, sales, and R&D” business model. The journey has been challenging, yet the future holds immense promise. As a professional with over two decades of experience in the pharmaceutical industry, I have personally witnessed the development of China’s pharmaceutical sector across various stages. It is a great honor to be a pharmaceutical entrepreneur, working collectively to propel the continued advancement of our industry.

Yuanxin Technology GroupYuanxin Technology expressed full recognition of Lekang Jiarun’s past business development. Yuanxin is optimistic about the sales prospects of more products on Lekang’s platform. Meanwhile, Yuanxin will empower Lekang by expanding cooperation in areas such as distribution channels, patient services, and payment methods. Lekang Jiarun is not only an investee of Yuanxin but also a key partner in the diversified marketing of Yuanxin’s future products and services.

In the realm of new drug development, Yuanxin Technology is closely monitoring the progress of its subsidiary, Lekang’s Bainintai Pharmaceuticals, and engaging in collaborations for subsequent clinical trials and market launch of its pipeline assets. In terms of product commercialization, Yuanxin has full confidence in Lekang Jiarun’s professional team and business model, looking forward to working together to create more innovative pharmaceutical sales and commercial models, thereby making positive contributions to industry development.

Citron CapitalIt is noted that in recent years, competition in the new drug research and development (R&D) industry has intensified, while enthusiasm for industry investment and financing has declined year by year. For innovative pharmaceutical companies, in addition to achieving smooth progress in project R&D, sustained financial support is particularly crucial. The core team of Lekang Jiarun has been deeply engaged in the pharmaceutical industry for over 20 years, possessing strong sales network resources across China and outstanding capabilities in pharmaceutical market promotion. Meanwhile, the company has actively laid out its strategy in new drug R&D, establishing platforms such as anti-tumor platinum-based prodrugs, nucleic acid drug delivery systems, and non-injectable peptide formulations. Unlike other innovative pharmaceutical companies in the market, Lekang Jiarun can provide cash flow support for project R&D through its sales business, thereby achieving self-sustaining growth. Citron Capital believes that driven by both superior R&D strength and mature market promotion capabilities, Lekang Jiarun will break through in the fiercely competitive "red ocean" of the pharmaceutical market and usher in a period of rapid development.

ROBE CAPITALWe are optimistic about dividend-yielding companies in the current capital environment, as stable cash flow is the foundation of new drug R&D. Mr. Song’s team demonstrated strong sales capabilities from the outset of their venture. Their strategy of selecting products based on sales potential and directing R&D according to market demand, combined with a pipeline of improved novel drugs and high-end generics, is well-positioned to deliver strong returns in a future environment characterized by greater capital efficiency.

Yuanxin Technology Group was established in 2015 and is headquartered in Beijing. Through its three core business pillars—comprehensive out-of-hospital patient services, supply-side enablement services, and healthcare industry enablement services—Yuanxin Technology ensures the delivery of personalized and attentive services to patients. These three pillars not only achieve rapid individual growth but also accumulate rich patient insights through their synergistic interactions. This enables Yuanxin Technology to collaborate with other stakeholders in the healthcare sector, such as hospitals, pharmaceutical companies, and insurance providers, delivering valuable digital services and fostering a virtuous, patient-centric healthcare ecosystem.

Citron Capital was established in 2021 as a private equity firm specializing in investments in the healthcare and new energy sectors. Its core management team hails from prominent financial institutions, including CDH Investments, the Big Four accounting firms, and asset management subsidiaries of listed companies, bringing extensive investment management experience and strong industry integration capabilities.

ROBE CAPITAL, established in 2017, is a boutique investment bank specializing in healthcare and life sciences. Its business scope encompasses financial advisory, direct investment, industry consulting, and innovation incubation. The founding team hails from leading private equity firms, financial advisory institutions, management consulting companies, and vertical healthcare media outlets. Since its inception, ROBE CAPITAL has consistently completed double-digit private financing and M&A transactions annually, with a cumulative transaction value amounting to tens of billions of RMB. In terms of value-added services for portfolio companies, the ROBE CAPITAL team possesses extensive and mature industry expertise. In 2020, ROBE New Healthcare Fund was launched and has since invested in multiple industry-leading companies.