Neuton Health Secures Tens of Millions in RMB in Series Angel and Pre-A Funding Rounds, Files IPO Prospectus

VCBeat (WeChat: vcbeat) has learned that Ningdong Medical, the first domestic company to deploy digital therapeutics in both psychiatric and neurological fields, recently announced the successive completion of its angel and Pre-A financing rounds, each amounting to tens of millions of yuan.YuanBio Venture Capital and Oriza Holdings consecutively led the investment, with Wushe Capital participating as a co-investor. It is reported that Ningdong Medical successfully closed two funding rounds within 11 months, demonstrating strong recognition from the capital market for the company’s product portfolio strategy and corporate execution capabilities.

Founded in 2018, Ningdong Medical has been deeply rooted in the blue ocean of brain science for many years, dedicated to providing innovative digital therapeutic solutions for experts in clinical departments such as neurology and psychiatry. Leveraging long-term, stable industry-academia-research collaborations with numerous Grade A tertiary hospitals across China and multinational pharmaceutical companies, combined with the team’s extensive development experience in artificial intelligence, virtual reality, and digital interaction technologies, the company has built a distinctive product pipeline with rapid advancement. In addition to its psychological rehabilitation software for specific phobias—the world’s first based on virtual reality devices and content—which has already received regulatory approval, several other products have entered clinical trials and are scheduled to obtain approvals sequentially from 2022 to 2025.

According to the China Health Statistics Yearbook 2020, the total number of psychiatric visits in China reached 160 million in 2019, with a total of 34,600 clinical psychiatrists in tertiary hospitals. The total number of neurology visits amounted to 420 million, with approximately 100,000 clinical neurologists. The overall doctor-to-patient ratio stood at a high of 1:4,631, indicating a severe shortage of physician resources. Meanwhile, due to uneven resource distribution, limited technical means, and lengthy diagnostic and treatment processes, a large number of patients fail to receive professional help during routine care. Many others delay seeking treatment due to stigma stemming from a lack of awareness about relevant diseases, or suffer from worsened conditions due to the absence of long-term, effective, and standardized diagnosis and treatment. There are significant gaps in health services for brain health overall, whether in terms of coverage, consultation rates, or treatment rates. Although brain science has advanced rapidly over the past 50 years, many mysteries remain unsolved. Globally, annual spending on brain disease treatment reaches $1.4 trillion, with the total disease burden amounting to $3 trillion. This figure is projected to double by 2030 as the population grows and aging intensifies. Among individuals over the age of 80, one-third will suffer from dementia and one-tenth from other mental disorders. Brain diseases have thus become the greatest public health challenge facing humanity in the 21st century.

2017 marked the inaugural year of global digital therapeutics, as companies such as Akili Interactive and Pear Therapeutics successively obtained FDA marketing authorization, ushering in a new era of digital medicine. The Ningdong team has been deeply entrenched in the medical technology sector for many years. Its founder, Dong Boya, and core members are serial entrepreneurs in the healthcare and technology fields, with particular expertise in the integration and synergy of IT and BT (Information Technology and Biotechnology).

For this round of financing, Fei Jianjiang, Managing Partner at Oriza Holdings“He stated, ‘As aging populations in China and worldwide continue to grow, brain disorders have become a focal area of attention due to factors such as the vast number of individuals potentially affected, scarce medical resources, and a lack of effective solutions. Thanks to breakthroughs in basic science and advances in digital technology over the past decade, emerging diagnostic and interventional approaches supported by technologies such as artificial intelligence and virtual reality are offering new possibilities for services in the field of brain health. We will continue to strategically deploy digital healthcare applications across various disease areas, hoping that Ningdong Medical’s development in the brain health sector will quickly establish a demonstrative effect.’”

Chen Jie, Founding Partner of YuanBio Venture Capital“Congratulations to Ningdong Medical on the completion of this financing round. As the lead investor in the angel round, YuanBio Venture Capital began collaborating with the Ningdong Medical team last year, supporting its rapid progress in product development for digital therapeutics in psychiatry and neurology. Ningdong Medical has deeply cultivated the field of brain disorders and continues to strengthen its capabilities in artificial intelligence and virtual reality technology platforms. Over the past 11 months, we have witnessed the continuous growth of both the team and the company. The company’s first product received approval in February this year, while regulatory registration and clinical research for subsequent products are proceeding in an orderly manner, demonstrating strong strategic execution and commercialization capabilities. We are confident in Ningdong Medical’s future development and have increased our investment in the Pre-A round. We believe that following this financing round, Ningdong Medical will continue to achieve remarkable results in advancing clinical trial applications, expanding its new product R&D pipeline, and commercializing its approved medical devices.”

Neuton Health, founded in 2018, is a digital therapeutics company specializing in neuroscience and mental health. Its core team comprises algorithm scientists, digital product experts, and clinical specialists, positioning the company as a pioneer in digital therapeutics within China. Neuton Health is dedicated to providing innovative digital healthcare solutions for clinical experts in neurosurgery, neurology, and psychiatry, with a product pipeline featuring first-in-class and leading digital therapeutics in China.

YuanBio Venture Capital is an investment firm focused on early-stage and growth-stage healthcare companies, headquartered in Suzhou BioBAY with a global reach. To date, it has invested in over 140 outstanding life sciences and healthcare enterprises, spanning four key sectors: innovative drug development, medical devices, in vitro diagnostics and precision medicine, and healthcare services. The firm has achieved substantial investment returns, with 14 of its portfolio companies having listed on capital markets such as the Hong Kong Stock Exchange and the STAR Market. YuanBio Venture Capital has been repeatedly recognized as one of the Top 10 venture capital funds in China’s healthcare sector and as one of the most active healthcare investment institutions in China. By bringing together seasoned professional investors and a world-class team of scientific advisors, YuanBio possesses extensive experience in entrepreneurship, venture capital, and corporate operations within the biopharmaceutical industry and beyond. Leveraging its professionalism, focus, and rich industry resources, YuanBio is committed to becoming one of the most successful healthcare and pharmaceutical venture capital funds in China.

Oriza Holdings is a specialized early-stage equity investment platform under Oriza Holdings, operating on a market-oriented basis. It focuses primarily on investment opportunities in start-ups and early-growth enterprises within the technology and healthcare sectors. The platform manages 13 funds with a total scale of approximately RMB 5 billion, comprising both venture capital (VC) funds and angel funds targeted at specific regions. Oriza Holdings’ investment philosophy emphasizes early-stage investments, a preference for technology-driven ventures, and a steadfast commitment to its promises. It is dedicated to empowering entrepreneurial companies with growth momentum and growing alongside founders.