Home Zhonghe Gene Completes Tens of Millions RMB Pre-A Financing to Accelerate Industrialization of DNA Bio-Synthesis Equipment

Zhonghe Gene Completes Tens of Millions RMB Pre-A Financing to Accelerate Industrialization of DNA Bio-Synthesis Equipment

Feb 22, 2024 08:00 CST Updated 08:00
ZHONGHE GENE

Gene Biosynthesis Instrument Supplier

Apricot capital

Venture Capital Institution

LCIG

Tech Industry Investment Firm

Recently, Tianjin ZHONGHE GENE Technology Co., Ltd. (hereinafter referred to as “ZHONGHE GENE”) announced the completion of a Pre-A financing round amounting to tens of millions of RMB. The round was led by Beiyang Haitang Fund, with participation from Apricot Capital and Legend Star. The funds raised will be used to accelerate the iterative upgrading of DNA biosynthesizers and related equipment, as well as market expansion.


ZHONGHE GENE, established in 2022, is an enterprise centered on third-generation enzymatic gene synthesis technology, specializing in the development, production, and sales of related equipment. It has been recognized as a National High-Tech Enterprise, a National Technology-Based Small and Medium-sized Enterprise, a Tianjin Fledgling Enterprise, and an Innovative Small and Medium-sized Enterprise.

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As a key foundational tool in the field of synthetic biology, DNA synthesizers boast significant market potential and are experiencing rapid growth. DNA biosynthesis technology is regarded as the third generation of DNA synthesis technology, following chemical column-based synthesis and chip-based synthesis. It features high accuracy, high efficiency, low cost, and environmental friendliness, while demonstrating the potential to synthesize ultra-long and complex DNA sequences, thereby attracting considerable industry attention. In 2022, the founding team of ZHONGHE GENE successfully developed a highly efficient engineered TdT enzyme of avian origin for the first time and established a laboratory-scale two-step cyclic DNA synthesis method, achieving an average accuracy rate of 98.7%, which was at the international leading level at that time. Building on this foundation, ZHONGHE GENE has continuously optimized its patented enzymes and reaction processes, ultimately achieving the successful development of a prototype machine that enables stable DNA synthesis with an average accuracy rate of 99.5%. Committed to becoming a pioneer in core foundational equipment for synthetic biology and a globally leading supplier of long-chain gene biosynthesizers, ZHONGHE GENE focuses on deploying products such as probe synthesizers, gene synthesizers, and gene splicers to meet diverse DNA synthesis needs, and aims to establish a fully automated biosynthesis service platform based on these capabilities. The gene splicer was officially launched in late 2023 and is currently undergoing commercial promotion; the probe synthesizer and gene synthesizer are undergoing engineering model iterations, with commercial models expected to be released this year. Looking ahead, ZHONGHE GENE will further explore new market application models, striving to widely apply DNA biosynthesis technology in fields such as medical diagnostics, drug research and development, and basic scientific research services.


ZHONGHE GENE’s core technologies are primarily derived from the Tianjin Institute of Industrial Biotechnology, Chinese Academy of Sciences. The team members graduated from prestigious institutions such as the Chinese Academy of Sciences, Nankai University, and Tianjin University, covering interdisciplinary fields including biology, chemistry, materials science, and equipment engineering. With years of experience at leading industry companies and research institutions, the team has accumulated extensive expertise in technological iteration, product development, and market promotion. ZHONGHE GENE will continue to uphold the philosophy of driving industrial development through breakthroughs in core technologies, providing high-efficiency, low-cost DNA biosynthesis solutions for the synthetic biology industry.


Sun Jun, Chairman of ZHONGHE GENEStatement: We extend our sincere gratitude to Beiyang Haitang Fund, Apricot Capital, and Lenovo Capital for their recognition of our work. Synthetic biology manufacturing has the potential to fundamentally transform traditional manufacturing models, offering vast future prospects. With significant advancements in protein function prediction and design, it is essential to pair these capabilities with more efficient and cost-effective gene synthesis methods to further drive the development of the synthetic biology manufacturing industry. Our technology enables the one-step synthesis of long DNA fragments. The equipment imposes no stringent requirements on the synthesis environment, allowing for widespread adoption across all biological laboratories. By empowering users with the capability for long-fragment gene synthesis, we aim to establish a new paradigm in synthetic biology research. Moving forward, we will continue to advance iterative engineering improvements of our equipment, focus on product development and commercialization, and explore novel market application models.


Liu Xiaolei, Investment Director of Beiyang Haitang FundStatement: ZHONGHE GENE is a leading enterprise in China for enzymatic DNA synthesis. Leveraging the independently developed core technology of efficient TdT enzyme-based DNA synthesis by Professor Jiang Huifeng from the Tianjin Institute of Industrial Biotechnology, Chinese Academy of Sciences, the company has developed automated probe synthesizers, gene assembly instruments, and gene synthesizers. It aims to create green DNA synthesis equipment accessible to all biological laboratories, with the potential to reduce DNA synthesis costs by several orders of magnitude and achieve kilobase (kb)-level DNA synthesis in a single run. We are pleased that Haitang Fund, as the lead investor in this financing round, has become a partner of ZHONGHE GENE. This partnership will further promote in-depth collaboration between ZHONGHE GENE and enterprises in synthetic biology and biomedicine within the Haitang ecosystem, accelerating the commercialization of related instruments and reagents. We look forward to ZHONGHE GENE rapidly growing into an equipment manufacturer and service provider with global competitiveness.


Qiang Jing, Managing Partner at Apricot CapitalApricot Capital has been closely monitoring the gene synthesis technology platform sector. Compared with traditional chemical gene synthesis, enzymatic gene synthesis holds the ultimate potential for de novo synthesis of ultra-long, complex sequences and cost reduction, addressing key pain points in current chemical methods and positioning itself as the next-generation gene synthesis technology. We believe that outstanding teams like ZHONGHE GENE are poised to become leading enterprises in next-generation gene synthesis technology platforms, driving the rapid advancement of synthetic biology.


He Zhiqiang, Senior Vice President of Lenovo Group and President of Lenovo CapitalIt indicates that the life sciences sector is poised to enter a new cycle of industrial development, where accurate, efficient, and user-friendly DNA synthesis technologies will be pivotal to this industrial revolution. Leveraging robust technical backgrounds from leading industry enterprises and research institutions, the ZHONGHE GENE team centers on its proprietary third-generation enzymatic gene synthesis technology. It has developed a suite of application-specific products for diverse DNA synthesis scenarios, including probe synthesizers, gene synthesizers, and gene assembly instruments. By actively promoting the commercialization of these technologies, ZHONGHE GENE aims to significantly lower the barriers to entry for applications such as gene synthesis and computational protein design services. Lenovo Capital and Incubation Group (LCIG) remains dedicated to investing in original innovations and empowering startups through its CVC 2.0 ecosystem. Looking ahead, LCIG hopes to collaborate with ZHONGHE GENE to jointly drive growth in the DNA synthesis sector and foster prosperity within the life sciences industry.