ZhiChong Pharma Secures Tens of Millions in Angel Funding Led by Legend Star to Advance ZC001 for Feline Infectious Peritonitis

Image source: Zhichong Pharmaceutical

“ZhiChong Pharma,” a startup dedicated to developing first-in-class (FIC) innovative veterinary drugs, recently secured tens of millions of RMB in angel financing led by Legendstar Capital, with follow-on investment from MiraclePlus. The proceeds from this round will be used for the clinical development of its product ZC001 for the indication of feline infectious peritonitis (FIP).

“ZhiChong Pharma” is a company that leverages AI-driven drug discovery (AIDD) to support animal drug design. It has established a multidisciplinary team integrating AI-assisted drug development, veterinary drug regulatory submission, small-molecule process development, and marketing channel construction, carving out a unique position in China’s novel veterinary drug development sector. The company develops innovative veterinary medicines using two core technology platforms: whole-genome CRISPR screening in animals and AI-assisted design of both small and large molecules. The CRISPR platform enables efficient identification and validation of novel targets, while the AI-assisted design platform significantly shortens R&D cycles and accelerates product iteration. Together, these two platforms ensure ZhiChong Pharma’s rapid development of first-in-class (FIC) innovative veterinary drugs.

Dr. Wei Wenjuan, founder of “ZhiChong Pharma,” earned her bachelor’s degree in Animal Science from Huazhong Agricultural University. During her doctoral studies, she participated in a joint training program at Washington University in St. Louis and the Shanghai Institute of Biochemistry and Cell Biology, Chinese Academy of Sciences. She subsequently worked for two years in clinical statistics for pharmaceutical development at Arkansas Children’s Hospital and North Carolina State University. Upon returning to China, she accumulated seven years of experience in genomic data analysis and AI-assisted drug R&D. As the former CEO of Shenzhen ZhiYao Information Technology Co., Ltd., she facilitated early-stage new drug discovery collaborations with more than 40 innovative human pharmaceutical companies. The core team members of “ZhiChong Pharma” each boast over ten years of professional experience in their respective fields, along with valuable track records in delivering new drug projects.

Feline Infectious Peritonitis (FIP) is a disease unique to cats, caused by a mutation of the feline coronavirus, and carries an extremely high mortality rate. Reports indicate that nearly 20% of pet cats in China are infected with the coronavirus (estimated at 10 million), with over 1 million of these cases developing into FIP. Due to factors such as current diagnostic capabilities and affordability, only about 15% of affected cats receive treatment. It is preliminarily estimated that the annual demand for FIP treatment amounts to approximately 150,000 courses, representing a potential market size of RMB 7 billion per year in China and RMB 28 billion per year globally.

“Feline Infectious Peritonitis (FIP)” was considered a fatal disease before 2016. However, studies in 2016 and 2018 demonstrated the efficacy of two specific antiviral compounds against FIP: GC376 and GS-441524. Neither drug has received marketing approval for human or veterinary use from the U.S. Food and Drug Administration (FDA) or regulatory authorities in other countries. GS-441524 (hereinafter referred to as “441”) is currently available only on the black market, with treatment costs ranging from RMB 6,000 to 20,000 per course. Due to the lack of formal approval, issues such as inconsistent product quality and absence of governmental oversight persist. There is an urgent need among pet owners and veterinary hospitals for officially approved, legitimate products to address this once-fatal condition.

To address this urgent clinical need, Dr. Wenjuan Wei, the founder, established ZhiChong Pharma in 2022, leveraging an AI platform for iterative new molecule discovery and extensive experience in antiviral drug development. The company has developed ZC001, a safe, effective, and cost-efficient small-molecule compound for the treatment of feline coronavirus. Unlike GS-441524, which targets viral replication, ZC001 is a small-molecule drug with a novel mechanism of action that minimizes the risk of inducing viral resistance mutations in both animals and humans, offering enhanced safety and reliability. Currently, there are no approved therapeutic drugs for feline infectious peritonitis (FIP) worldwide. ZC001, a first-in-class (FIC) animal-specific anti-coronavirus agent with global potential, has completed preclinical research and testing and is poised to enter clinical trials.

“ZhiChong Pharma” founder Dr. Wei Wenjuan has long been engaged in and focused on pet clinical practice and drug development. Beyond her professional work, she is also a cat owner, which has given her profound insights into the diagnostic, therapeutic, and health needs of pets. Accordingly, she plans to develop targeted products in this area. Several other pipelines have already yielded lead compounds, and future efforts will be strategically positioned in advance to address the evolving spectrum of pet epidemics.

Pet pharmaceuticals represent the segment with the highest barriers to entry and the greatest value within the global pet market. Currently, the leading players in the global pet market are predominantly renowned pharmaceutical companies and their subsidiaries (such as Zoetis and Boehringer Ingelheim), with market share highly concentrated. In China, the top 10 imported pet drugs by sales volume are basically sourced from Zoetis, Elanco, and Boehringer Ingelheim. The global pet pharmaceutical market has experienced rapid growth over the past five years, with an overall compound annual growth rate (CAGR) exceeding 20%. Furthermore, pet drug sales have surpassed those for food-producing animals, accounting for more than 50% of the market share in mainstream European and American markets. There is significant room for growth in China’s pet ownership population (primarily dogs and cats); the current per capita pet ownership rate in China is only about one-sixth of that in developed countries, indicating substantial potential for expansion. The number, breeds, disease spectra, and incidence rates of pets in China are largely consistent with those in the United States. It is foreseeable that with the continuous increase in the pet population, the future demand for pet pharmaceuticals will be enormous. The market size is projected to grow from RMB 17 billion in 2021 to RMB 150 billion over the next decade, achieving a CAGR of 27.4%.

As the world’s first innovative pet pharmaceutical company to integrate a whole-genome CRISPR screening platform for animals with an AI-driven drug design (AIDD) platform, “ZhiChong Pharma” will vigorously explore novel therapeutic targets, expand its product pipeline, and accelerate pet drug development. This initiative aims to reverse the current scarcity of available medications in the global pet pharmaceutical market and enhance animal welfare.

Legendstar was founded in 2008. It currently manages 12 early-stage investment funds with a total capital of nearly RMB 5 billion and has invested in close to 500 projects. Drawing on Legend Holdings’ entrepreneurial experience and resource accumulation over more than three decades, Legendstar provides distinctive services combining early-stage investment with in-depth incubation, acting as a “super angel” for entrepreneurs. Its early-stage investments primarily focus on three sectors: frontier technologies, healthcare, and TMT (Technology, Media, and Telecom), with active deployments in intelligent machines, internet-enabled transformation of traditional industries, biotechnology, and medical devices. Meanwhile, it manages and operates the “Entrepreneurial CEO Training Program,” offering practical, professional, and pro bono entrepreneurship training to a broad base of founders.Legendstar is among the earliest early-stage investors to systematically deploy capital in the healthcare sector, having identified healthcare as a key investment focus since 2010. In this domain, Legendstar’s strategic layout centers on two pillars: “Biopharmaceuticals” and “Digital-Intelligent Healthcare.” Biopharmaceuticals encompass innovative drugs, gene technologies and services, diagnostics, and high-value consumables. Digital-Intelligent Healthcare refers to opportunities that leverage artificial intelligence, big data, robotics, and other technologies to upgrade and empower drug R&D, medical devices, healthcare services, insurance payment, and health management. To date, Legendstar has invested in 200 high-quality healthcare projects, including Kintor Pharmaceutical (9939.HK), Burning Rock Biotech (NASDAQ: BNR), Axonics (NASDAQ: AXNX), Keymed Biosciences (2162.HK), PegBio, Cayudi, Gaocheng Biology, Deepwise Healthcare, Jingfeng Surgical Robot, and Jiayin Biology.

MiraclePlus, formerly known as Y Combinator China, was founded by Dr. Qi Lu in 2019 with the mission of maximizing innovation at its source. Over the past four years, MiraclePlus has invested in and accelerated 318 startups across 22 frontier technology sectors, including generative AI, robotics, biotechnology, commercial aerospace, new materials, new energy, and cloud/mobile internet. These portfolio companies are distributed across China, the United States, Europe, Southeast Asia, Latin America, Africa, and other regions. Through its global startup accelerator alumni community and proprietary products and tools, MiraclePlus provides long-term support to each of its alumni companies.