Suzhou GenoNuclear Pharma Completes Nearly RMB 100 Million Series C+ Financing to Advance Radiopharmaceutical Pipeline

Recently, Suzhou Smart Nuclear Biological Pharmaceutical Technology Co., Ltd. (hereinafter referred to as “SmartNuclide”) announced the completion of its C+ round financing, amounting to nearly RMB 100 million.

This round of financing was led by Oriza Holdings, with participation from YZ CAPITAL, Jiansu Capital, and Suzhou Leader Venture Capital, while existing shareholder Ruihe Capital continued its support. The funds raised in this round will be primarily used for the company’s first product nearing launch—recombinant human thyroid-stimulating hormone injection (rhTSH, brand name: Zhishujia).^®) commercialization, clinical trials of innovative radiopharmaceuticals for diagnosis such as SNA002, and the advancement of Investigational New Drug (IND) applications for novel targeted therapeutic radiopharmaceuticals such as SNA014 and SNA025, further strengthening SmartNuclide’s proprietary Smart series radiopharmaceutical development platform.

Radiopharmaceuticals achieve precise targeting by using antibodies, peptides, or small molecules to deliver radioisotopes directly to cancer cells for diagnostic or therapeutic purposes. Compared with conventional therapies, they offer numerous advantages, such as overcoming drug resistance mechanisms and activating the immune microenvironment.

Since 2023, the rapid commercial scale-up of diagnostic radiopharmaceuticals by companies such as Telix and Lantheus, along with therapeutic radiopharmaceuticals by Novartis, has demonstrated the steadily growing clinical demand for radiopharmaceuticals. Multinational corporations, including Lilly, BMS (Bristol Myers Squibb), and AZ (AstraZeneca), have intensified their investments in the radiopharmaceutical sector through mergers and acquisitions totaling nearly $10 billion, marking radiopharmaceuticals as one of the most prominent hotspots in the global pharmaceutical industry. In China, domestic pharmaceutical companies, including Hengrui Medicine and Grand Pharma, have also begun to actively establish a presence in the radiopharmaceutical field. Due to their unique theranostic capabilities, radiopharmaceuticals are considered to possess substantial market potential.

Figure: SmartNuclide’s Original Smart Series Radiopharmaceutical Development Platform

Due to their unique radiation mechanisms, radiopharmaceuticals are extremely challenging to develop, resulting in a highly concentrated and intensely competitive landscape of drug targets in the current market. To address the numerous challenges in radiopharmaceutical development, SmartNuclide has established an independently owned intellectual property platform for the discovery, research and development, and production of single-domain antibody-based radiopharmaceuticals. Furthermore, the company has successfully built the Smart series platform for developing radiopharmaceuticals against novel targets. This platform offers significant advantages, including low hematotoxicity, low nephrotoxicity, and high tumor uptake, substantially enhancing both the R&D efficiency and therapeutic potential of radiopharmaceuticals.

SmartNuclide has constructed its first GMP-compliant radiopharmaceutical manufacturing facility, spanning several thousand square meters with Grade B qualifications, in Suzhou Industrial Park. The company has proactively established a pipeline of more than ten innovative radionuclide-based diagnostic and therapeutic products. Several novel radiopharmaceuticals for tumor imaging have progressively entered clinical trials, while potential molecular candidates for radioligand therapies targeting novel mechanisms have been identified, with clinical trials imminent. Additionally, the first domestic recombinant human thyroid-stimulating hormone injection (Zhishujia) for radioiodine therapy in thyroid cancer patients^®) is about to be approved for market launch, filling the gap in medication availability in mainland China.

Figure: Zhishujia^®Product Appearance Photo

Dr. Xu Tao, Founder and CEO of SmartNuclide, stated:

We sincerely thank our new and existing investors and partners for their steadfast support and recognition of SmartNuclide, which have enabled us to complete this round of financing amidst the industry’s challenging climate. We will remain true to our original mission and continue to deepen our expertise in the field of radiopharmaceuticals.

In the future, bolstered by this round of funding, SmartNuclide will accelerate the commercialization of Zhishujia, while also speeding up product development and clinical trials, with the hope that Zhishujia^®Its market launch will enable us to achieve self-sufficiency, allowing more funds to be allocated to research and development and innovation. We will continue to bring innovative and clinically effective diagnostic and therapeutic radiopharmaceuticals to the market, benefiting patients both in China and abroad.

Chen Yunfei, Deputy General Manager of the Healthcare Investment Department at Oriza Holdings, stated:

Over the past two years, the radiopharmaceutical sector has witnessed robust growth. With the introduction of national regulations and policy support, industry standards have become increasingly comprehensive and stringent, presenting both new challenges and opportunities for innovative radiopharmaceutical companies. We are optimistic about the development prospects of SmartNuclide. Since its inception, SmartNuclide has consistently focused on the radiopharmaceutical field, building a pipeline centered on innovative molecular targets that avoid market saturation. This fully demonstrates its strong capabilities in independent research and development as well as its professional expertise. We have maintained long-term attention to SmartNuclide and remain bullish on its future. We look forward to leveraging this collaboration to empower SmartNuclide, accelerate the R&D process of more innovative radiopharmaceuticals, and ultimately benefit a broader patient population.

SmartNuclide is a nuclear medicine company with the mission of “bringing new hope to patients through the most innovative diagnostic and therapeutic nuclear medicine products,” dedicated to providing global patients with innovative radiopharmaceuticals for diagnosis and therapy.

SmartNuclide has established a proprietary technology platform for the discovery, R&D, and manufacturing of radiopharmaceuticals based on single-domain antibodies. In accordance with cGMP standards, the company has constructed and commissioned a multi-thousand-square-meter GMP-compliant radiopharmaceutical production facility (Class B qualification). SmartNuclide has proactively laid out a pipeline of more than 10 innovative radionuclide-based diagnostic and therapeutic products. The first domestic recombinant human thyroid-stimulating hormone (rhTSH) injection has submitted its New Drug Application (NDA), which has been accepted for review; approval is expected in the near term, filling a medication gap in mainland China. Several innovative radiopharmaceutical imaging agents targeting tumors have progressively entered clinical trials, while potential molecular candidates for novel-targeted therapeutic radiopharmaceuticals have been identified, with clinical trials set to commence shortly.

Suzhou Oriza Holdings Corporation (hereinafter referred to as “Oriza Holdings”) is a state-owned investment holding enterprise controlled by the Administrative Committee of Suzhou Industrial Park and participated in by Jiangsu Guoxin Group. Equity investment constitutes Oriza Holdings’ core business segment, with the scale of funds under management currently exceeding RMB 100 billion.

Since its establishment in 2001, Oriza Holdings has focused on the field of equity investment, with multiple management teams under its umbrella specializing in different investment stages and sectors. As of the end of December 2023, its direct investment platforms and managed funds had invested in over 1,400 projects. Through its flagship VC fund-of-funds, it has invested in 170 sub-funds, with a total scale exceeding RMB 200 billion, covering more than 4,000 portfolio companies. In 2019, Oriza’s fund-of-funds became the first market-oriented VC fund-of-funds to receive investment from the National Social Security Fund.

Zhejiang Yuzhi Asset Management Co., Ltd. (hereinafter referred to as “YZ CAPITAL”) was established in June 2017 at the Hangzhou Fund Town. It is an investment institution focusing on emerging high-end technology and manufacturing, as well as the cultural tourism and leisure industries. With a registered capital of RMB 100 million, the company has obtained the qualification of private equity fund manager. YZ CAPITAL was founded by Mr. Wang Tianfei, who possesses over 30 years of experience in the financial industry, along with keen business acumen and unique management philosophy.

YZ CAPITAL adheres to the principles of integrity, wisdom, professionalism, and diligence, focusing on providing society and clients with continuous, reliable, effective, and safe value-added products and services to meet the public’s needs for a happy, healthy, and prosperous life; it strives to realize its vision of leveraging its strong financial strength and rich investment management expertise to create long-term, steady wealth appreciation for its clients.

Ruihe Capital was founded in 2010 by seasoned professionals from the industrial and financial sectors. With the mission of “helping enterprises innovate and grow, promoting industrial optimization and upgrading, and driving social development and progress,” it focuses on early- to mid-stage investments in the fields of information technology, pharmaceuticals and healthcare, and cultural creativity. In the pharmaceutical and healthcare sector, Ruihe Capital has led investments in outstanding companies such as Menovo, Titan Technology, Arno Therapeutics, Huaxian Pharmaceutical, SmartNuclide, Meike Medical, and Leming Pharmaceutical.

Guangzhou Jiansu Private Equity Fund Management Co., Ltd. (hereinafter referred to as “Jiansu Capital”) is an investment institution focused on early-stage and growth-stage investments, with a particular emphasis on innovative ventures in healthcare, new energy, and emerging technologies.

The company’s shareholders and management team comprise financial investment professionals from Baidu Capital, Dianliang Capital, and AIA Insurance, as well as expert professors from renowned national research institutes, offering multidisciplinary and multi-sector composite advantages. Team members possess many years of professional investment experience, having accumulated extensive investment expertise and industry resources. They have led or participated in the investment of numerous high-quality projects, including 39 Health (listed), Broncus Medical (listed), Boqii (listed), Jinhuineng, Lingou Chuangxin, Zhongke Fuhei, Junduo Robotics, Bodun Optoelectronics, and Ansong Technology.

Jiansu Capital focuses on uncovering non-consensus insights. By conducting in-depth research into the essence of industries, combining rational judgments on the fundamentals of business and technology, and leveraging long-term, sustained accumulation of industrial ecosystem resources, it creates long-term value for entrepreneurs and investors.

The Suzhou Industrial Park Science and Technology Innovation Fund was jointly established with the Finance and Audit Bureau of Suzhou Industrial Park as the Limited Partner (LP) and Suzhou Industrial Park Leader Venture Capital Co., Ltd. as the General Partner (GP). The first phase of the fund has a total size of RMB 1.5 billion, focusing on key strategic emerging industries such as biopharmaceuticals, nanotechnology applications, and artificial intelligence. By adopting a combination of direct investment and grant-linked investment, the fund supports technology-based and innovative enterprises within the park in scaling up, optimizing operations, and strengthening their competitiveness.

Suzhou Industrial Park Leader Venture Capital Co., Ltd., the general partner (GP) of the Suzhou Industrial Park Science and Technology Innovation Fund, was established in December 2012. It is wholly owned by the Suzhou Industrial Park Enterprise Development Service Center and currently stands as the largest policy-oriented angel investment institution in Suzhou Industrial Park. The firm has played a positive role in supporting the park’s efforts to attract high-end talent, accelerate enterprise growth, and foster an ecosystem for technological innovation.