SaiLe Medical Completes Hundreds of Millions RMB Series B Financing to Accelerate Global Expansion and High-Value Consumables Pipeline

VCBeat has learned that Changzhou Saile Medical Technology Co., Ltd. (“Saile Medical”) recently announced the completion of its Series B financing, amounting to hundreds of millions of RMB. The round was led by GF Xinde, with participation from Motianshi Investment and Youshuo Venture Capital. Joywise Capital served as the exclusive financial advisor for this financing round.

Founded in 2016, Sailuo Medical is a leading global platform for dental instruments in China. Adhering to the R&D philosophy of prioritizing quality and closely aligning with clinical needs, the company’s product capabilities drive technological advancements in the industry, with quality standards comparable to those of international dental giants. Committed to building a one-stop platform for dental diagnostic and treatment instruments, Sailuo Medical has launched numerous star products that have gained widespread recognition from hundreds of thousands of dentists worldwide. Its sales have continued to climb, achieving year-over-year doubling even during the three years of the pandemic.

Upon the completion of this round of financing, the company will accelerate the commercialization of its existing pipeline and further expand its layout in the high-value consumables sector.

According to statistics, the current global market size for dental services is nearly $360 billion. Driven by factors such as sustained economic growth and rising national income levels across various countries, public awareness of oral health is gradually increasing, leading to a continuous and rapid growth in diagnosis and treatment demand. The market size is projected to reach $550 billion by 2025. Compared to the broader healthcare sector, private participation in dental care institutions is significantly higher, accounting for over 80% of the total, with their numbers far exceeding those of public medical institutions. As private dental practices operate with profit-oriented objectives, competition among upstream dental industry enterprises has become more market-driven, imposing higher demands on companies’ product competitiveness and commercial promotion capabilities.

As a rising star in the industry, Sailuo has precisely formulated a differentiated strategy based on its own advantages. Relying on its uniquely innovative digital marketing and academic promotion models, as well as its channel development and management capabilities, it has rapidly emerged as a prominent player in the global dental healthcare market.

In terms of marketing and academic promotion, Sellever has leveraged its robust new media operational capabilities to establish mature digital marketing and academic platforms. By customizing and delivering high-quality content in multiple languages tailored to the characteristics of different regional markets and customers, the company has continuously enhanced engagement and stickiness with dentists. Over five years of accumulation, it has secured a private domain traffic pool comprising hundreds of thousands of dentist clients globally. Regarding academic resources, the company strategically partners with leading key opinion leaders (KOLs) and prestigious institutions across various regions, deeply integrating with domestic and international dental communities. This approach further expands dentist coverage through expert influence, secures direct orders, and empowers distribution channels. By combining online and offline marketing strategies, Sellever maximizes the efficiency of product reach to dentists, thereby achieving exceptional commercialization effectiveness.

Established just six years ago, the company has expanded its business to 141 countries and regions worldwide, achieving a coverage rate of over 70%. It has launched more than 20 products, with several leading domestic brands in export sales. These products have surpassed international dental giants in many overseas markets, becoming well-received and renowned local brands. The company’s current revenue scale has reached hundreds of millions of yuan, maintaining profitability for five consecutive years with a steadily increasing net profit margin. Despite the impact of the pandemic, the compound annual growth rate (CAGR) of revenue over the past three years has exceeded 100%.

Sailor has deeply cultivated the high-potential dental sector. Leveraging its profound understanding and insights into the industry and customers, the company maintains a clear logic for pipeline layout and deployment strategy. Spanning from equipment to consumables, from general dentistry to specialized fields, and expanding from essential products to high-end imaging and optical devices, Sailor is building a one-stop platform while continuously innovating to meet the needs of clinics at different stages of development. The company’s pipeline layout primarily revolves around the following three developmental stages.

Brand Channel Development Phase: In the early stage of corporate development, the company leveraged its leading R&D and quality control capabilities to elevate the performance of its full range of essential, low-cost root canal treatment products to the level of imported brands. By capitalizing on the cost advantages of Chinese manufacturing, it rapidly increased market share, earned customer trust, established brand image, captured customer mindshare, and simultaneously built a comprehensive global distribution network.

Product Introduction Phase: Leveraging robust R&D capabilities and domestic and international regulatory registration strengths, higher value-added products such as intraoral scanners, imaging systems, and optical devices have been successively launched. The company is currently in the introduction phase for high-value products, further validating its commercialization advantages. It pioneered the launch of a handheld X-ray machine in China, which has become the global leader in shipment volume within just one year. Additionally, its intraoral scanner, having been on the market for only one year, has already ranked as the second-largest Chinese brand in export volume.

Ecosystem Development Phase: As the company’s essential products for clinic launch are successively introduced to the market, it has become increasingly important to further enhance customer utilization rates, help customers unlock greater revenue potential, and strengthen stickiness. Currently, the company has gradually established digital dental diagnosis and treatment scenarios around its existing pipeline layout and has begun to position itself in the high-value consumables sector, forming a closed-loop full-process solution. This empowers customers to expand from general dental treatment services to higher-margin specialized medical procedures, achieving mutual benefit. In the future, as the company’s other high-value equipment and consumable products are implemented, they are expected to provide strong support for the company’s sustained high-speed growth.

The oral healthcare market has maintained high double-digit growth for consecutive years, attracting an increasing number of outstanding teams and enterprises, while the market environment becomes increasingly complex and dynamic. The company’s core management team is notably young, with a spirit of innovation deeply embedded in its corporate culture. Many members of the R&D management team come from renowned companies such as Dentsply Sirona, a global dental giant, and Mindray, a leading domestic medical device manufacturer. They possess extensive experience in developing small, medium, and large-scale medical equipment, along with a mature and efficient R&D management system, enabling precise and flexible product pipeline strategies tailored to different regional markets. Leveraging years of experience and accumulated expertise in overseas market expansion, the sales team capitalizes on its deep understanding of international markets and innovative marketing models. This has propelled the company to become a leading global dental medical device platform in China within just five years of product launch, ranking first in export performance and achieving solid and efficient commercial implementation. In the future, the company will further integrate capital and industrial resources, accelerate the expansion of its high-value consumables pipeline, and build a more comprehensive end-to-end solution for the diagnosis and treatment of oral diseases. By providing a one-stop platform, the company aims to benefit more dentists and patients with high-quality products and services.

Mr. Tao Huan, Founder and CEO of Sailuo Medicalstated that our product portfolio in the field of dental medical devices has expanded from a small closed-loop focused on endodontic treatment to a comprehensive closed-loop ecosystem encompassing broad dental medical products and supporting solutions, with further expansion into the sector of high-value dental consumables. With capital support, we aim to build an industry-leading global ecosystem platform for dental devices. By strategically laying out and developing products tailored to customer needs and clinical pain points, we will fully leverage the advantages of intelligent manufacturing in China to empower customers in the global dental market and foster a new perception of Chinese brands among dentists worldwide. We are highly confident in our ability to join the ranks of global dental industry giants, delivering superior services to dentists and patients around the world.

Dr. Li Chen, GF XindeIt was stated that Saile focuses on the field of dental medical devices, boasting a rich pipeline layout with products covering multiple high-potential sub-sectors of the oral care market. The founding team possesses forward-looking strategic vision and exceptional, efficient commercial execution capabilities. Leveraging their in-depth understanding of the dental industry, they have innovatively developed dental products whose quality and performance rival those of international giants. We are delighted to partner with the company and will proactively provide value-added services to help Saile Medical become a leading dental medical device platform enterprise in China and a world-class player globally.

Mr. Yang Zhenjun, Managing Partner of Haoyue CapitalHaoYue Capital expressed that it was highly honored to once again serve as the exclusive financial advisor for Sile Medical’s current round of financing, assisting the company in successfully completing the transaction. The dental care sector is closely correlated with the level of economic development. The global dental market is currently in a phase of rapid and sustained growth, while the domestic market remains in its early stages, characterized by low concentration across most product pipelines and significant growth potential. Leveraging the advantages of China’s industrial supply chain, platform-based and global expansion represents the future direction for dental enterprises. Sile Medical has built an integrated dental device platform, achieving rapid global market penetration, which fully validates the company’s innovation capabilities and its team’s execution strength. We remain optimistic about the company’s future development and believe that, with capital support, Sile will further enrich its pipeline ecosystem, continuously enhance its competitiveness, and achieve new milestones.

Changzhou Sale Medical Technology Co., Ltd., established in 2016, is a professional dental equipment manufacturer integrating R&D, manufacturing, marketing, and services. Eighteeth, the dental brand of Sale Medical, is dedicated to providing professional dental medical device products to the global oral health market. Since its inception, the company has adhered to the principle of "reasonable pricing, reliable product quality, and excellent after-sales service," establishing an integrated closed-loop ecosystem covering a full range of dental equipment and consumables. With a steady stream of best-selling products whose quality rivals that of international giants, its offerings have gained widespread recognition from dentists both domestically and abroad. Sales have continued to climb, with products exported to 141 countries and regions worldwide, building a proprietary brand with significant international influence.

GF Xinde Investment Management Co., Ltd. was established in December 2008 as a wholly-owned private equity fund subsidiary of GF Securities Co., Ltd. (Stock Code: 000776), ranking among the top broker-backed private equity fund subsidiaries in China. Leveraging superior fund management capabilities, excellent investment research expertise, comprehensive project management skills, and rigorous, pragmatic compliance and risk control measures, GF Xinde has become a preferred asset allocation choice for numerous high-quality capital providers. Upholding the values of vision, integrity, and collaboration, the company identifies high-quality projects through in-depth industry research. Furthermore, by leveraging the comprehensive advantages of the GF Securities Financial Group and its own strategic management capabilities, GF Xinde provides all-around value-added services to portfolio companies, enhancing their investment value, generating substantial returns for investors, and achieving multi-party win-win outcomes for the company, investors, and portfolio companies. GF Xinde has consistently ranked among the top three in Zero2IPO’s rankings of broker-backed private equity managers. Currently, the funds raised and managed by the company span multiple sectors, including healthcare, consumption upgrading, industrial innovation and upgrading, and TMT, covering various investment categories such as private equity (PE), venture capital (VC), and mergers and acquisitions (M&A).

MOTIANSHI Investment Holding Co., Ltd. was established in December 2009 as the equity investment platform under Guangdong Guangrun Group Co., Ltd. It primarily invests in entrepreneurial and innovative projects across various sectors, including pharmaceuticals, general health, artificial intelligence, and semiconductor chips, covering venture capital (VC), industrial investment, and private equity (PE) investment. As an integral component of Guangrun Group’s industrial ecosystem, the group owns multiple pharmaceutical companies, health supplement enterprises, venture capital firms, and industrial incubation bases. An innovative biopharmaceutical enterprise controlled by the group was successfully listed on the ChiNext Board in 2017.

Jiangsu Youshuo Venture Capital Group Co., Ltd. was established in Suzhou in 2001 by Taiwan’s Dayuandao Construction Group. The company is primarily engaged in venture capital investment and investment activities using its own funds. Currently, Youshuo Group’s investment portfolio spans agriculture, real estate, sports, healthcare, and food industries. Specifically, its agricultural segment includes Anyou Biotechnology Group, ranked among China’s top 30 feed manufacturers; its real estate segment has invested in and developed approximately 400,000 square meters of residential communities in Suzhou, Yueyang (Hunan Province), and Lianyungang (Jiangsu Province); its sports segment began investing in sensory integration and physical fitness projects in 2021; its healthcare segment has established two dental clinics in Suzhou and Changzhou; and its food segment entered the industry in July 2022, currently operating two stores in Suzhou with plans to expand into the prepared meal sector.

Haoyue Capital, established in January 2014, is a leading industry-focused investment bank in China specializing in the healthcare sector. Headquartered in Shanghai, the firm maintains regional offices in Beijing and Shenzhen. Committed to empowering growth through capital and research-driven insights, Haoyue Capital facilitates successful connections between outstanding Chinese healthcare enterprises and the capital markets, thereby creating added value for its clients. The partnership team comprises seasoned investment bankers with extensive experience in China’s healthcare sector, supported by a professional team of over 70 members. Haoyue Capital closely monitors dynamics and trends in the healthcare investment market, with its research and transaction coverage spanning multiple sub-sectors, including innovative pharmaceuticals, innovative medical devices, IVD and life sciences, health services, and smart healthcare. In 2021, Haoyue Capital completed more than 50 complex transactions involving private equity financing, mergers and acquisitions, and spin-offs of listed companies, with a total transaction value amounting to tens of billions of RMB, securing a leading position across all major sub-sectors of the healthcare industry.