Xianshi Bio Completes Tens of Millions of RMB Series A Financing and Enrolls First Patient in Pivotal Clinical Trial for Its Lead Endometrial Repair Product

VCBeat has learned that Hangzhou Xianshi Biotechnology Co., Ltd. (“Xianshi Biotech”) has announced the completion of its Series A financing, raising tens of millions of yuan. The company has also recently enrolled the first patient in the registration clinical trial for its flagship endometrial repair product. This round of financing was exclusively invested by Qingdao Qingchi Venture Capital Fund. Following the completion of this financing, Xianshi Biotech will continue to develop its four core technology platforms—decellularization, hydrogel microspheres, nanofibers, and biomimetic mineralization—to comprehensively advance the research and development of its various product pipelines.

In China, there are nearly 40 million people affected by infertility. Endometrial issues are one of the major factors contributing to infertility and the failure of assisted reproductive technology (ART) treatments; however, there are currently no effective clinical solutions available. Xianshi Biotech has developed an endometrial repair product, a highly adhesive acellular matrix microfiber material that can efficiently adhere to the damaged endometrial surface. This promotes endogenous tissue repair, thickens the endometrium, and enhances endometrial receptivity and adhesion, ultimately improving implantation and pregnancy rates in patients. By effectively addressing critical clinical challenges, this innovation provides a novel and effective therapeutic option for individuals struggling with infertility.

The product has completed exploratory human clinical trials and rapidly advanced to registrational clinical trials based on favorable clinical data, with the enrollment of the first patient now completed. The registrational clinical trial is led by Professor Zhang Songying, Director of the Center for Reproductive Medicine and academic leader at Sir Run Run Shaw Hospital, Zhejiang University School of Medicine. Professor Zhang stated that this product not only holds promise for addressing clinical challenges such as thin endometrium but also offers broad prospects for future combination therapies involving stem cells and stromal vascular fraction (exosomes). Furthermore, Xianshi Biotechnology has collaborated with Professor Zhang to secure funding from Zhejiang Province’s “Jianbing” and “Lingyan” Major Projects, aimed at developing innovative intrauterine therapies combining injectable decellularized matrix with SVF.

Xianshi Biotechnology, established in 2020, is a high-tech company focused on the biomaterials and regenerative medicine industries. It is dedicated to developing next-generation biomedical materials and tissue reconstruction products with induced regenerative capabilities. Since its inception, the company has been selected for the Xiaoshan District “5213” Leading Project and has participated as an enterprise partner in major R&D programs sponsored by the Ministry of Science and Technology, making it a key government-supported high-tech enterprise.

First Blockbuster Product Has Entered Pivotal Clinical Trials, with Breakthroughs Achieved Across Multiple Product Pipelines

The company’s core team comprises scientists, physicians, and engineers with distinguished expertise and widespread industry recognition in the fields of biomaterials and regenerative medicine. Under the leadership of Dr. Yu Xiaohua, CEO, the company has received numerous prestigious awards, including the Innovation Award at the 2021 SATOL (China) Life Science Technology Innovation and Entrepreneurship Competition and the Excellence Award in the Growth Category of the Biopharmaceutical Industry at the 11th China Innovation and Entrepreneurship Competition in 2022, earning high acclaim from both the investment and industrial sectors.

Currently, Xianshi Biotech has assembled a robust team with profound technical expertise and extensive practical experience in product development within the field of regenerative medicine. The company has established an integrated ecosystem linking industry, academia, research, and clinical practice. Leveraging its four proprietary technology platforms—acellular technology, hydrogel microspheres, electrospun nanofibers, and biomimetic mineralization—Xianshi Biotech is efficiently developing medical materials and devices for the regeneration of various tissues and organs.

At present, as population aging and low fertility rates intensify in China, demand for regenerative medicine is growing. The Chinese government has consistently prioritized development in the fields of population and health, introducing a series of policy measures to support research and application of regenerative medicine. These initiatives encourage research institutions and enterprises to increase investment, strengthen collaboration, and enhance technological capabilities to meet the healthcare needs arising from an aging population and declining birth rates.

Xianshi Biotech is developing innovative intrauterine therapies

Seizing this opportunity, the regenerative medicine industry has rapidly gained momentum over the past two years, with continuous innovations emerging in fields such as bio-regenerative materials and stem cell repair. In 2022, it became a hotly contested sector for capital investment, ranking first among all sub-sectors in annual financing activity. According to statistics from VCBeat, a total of 22 companies successfully completed 28 financing rounds throughout 2022, with participation from top-tier medical innovation investment firms including Sequoia Capital, Lilly Asia Ventures, CDH Investments, and Qiming Venture Partners.

With the influx of capital, companies are able to accelerate R&D, enhance technological capabilities, and gain a competitive edge in the market through innovative products. The regenerative medicine industry is poised to make significant contributions to medical advancements and economic growth, improve people’s quality of life, and deliver strong returns on investment.

Xianshi Biology Wins Excellence Award in Zhejiang Division of the 11th China Innovation and Entrepreneurship Competition

Regarding this round of financing, Dr. Yu Xiaohua, CEO of Xianshi Biotech, stated: “We sincerely appreciate the high recognition and strong support from Qingdao Qingchi Venture Capital Fund for Xianshi Biotech. The completion of this financing round will elevate the development of Xianshi Biotech to a new height. We will fully leverage the capital and resources brought by this financing to significantly accelerate the clinical progress of our products, expand our product pipeline, and further strengthen our technical team, laying a solid foundation for the company to achieve leapfrog growth.”

Ms. Qian Ranting, Partner at Qingdao Qingchi Venture Capital Fund, stated, “The team at Xianshi Biotechnology has accumulated years of expertise in the field of regenerative medicine biomaterials. Under the leadership of Dr. Yu, the team is guided by clinical needs and leverages four core R&D platforms—decellularization, hydrogel microspheres, nanofibers, and biomimetic mineralization—to develop medical products using regenerative materials across various therapeutic areas. We look forward to the simultaneous advancement of the company’s multiple R&D pipelines, enabling the early realization of the application value of innovative biomaterials in tissue regeneration and wound repair, thereby benefiting patients.”

Qingdao Qingchi Venture Capital Fund focuses on investing in early- to mid-stage projects in China’s healthcare and pharmaceutical sectors. The fund strives to identify target companies within the broad and diverse sub-sectors of healthcare and pharmaceuticals that possess innovation as their core competitiveness, excel at seizing business opportunities, and demonstrate strong execution capabilities. By empowering these companies with industrial and financial resources, combined with rigorous post-investment governance, the fund helps them achieve rapid growth and expansion.