Innovo Therapeutics Secures Nearly RMB 100 Million in Series Angel Funding to Advance Targeted Protein Degradation Drug Development

Innovo Therapeutics (“Innovo”) recently announced the completion of a nearly RMB 100 million angel financing round,Led by Juming Venture Capital, co-led by Chengyi Capital, with participation from Hemeng Venture Capital and Jiangsu Industrial Technology Research Institute; Qushi Capital served as the exclusive financial advisor.. The funds from this round of financing will be primarily used to expand and apply two targeted protein degradation platforms, and to advance the R&D of multiple oncology and tumor immunotherapy drug pipelines. Additionally, the company has recently acquired global rights to an acute myeloid leukemia (AML) pipeline, which is planned to enter clinical trials in 2023.

As a Sino-US joint venture dedicated to the development of novel anticancer drugs, InnoCare Pharma was established in June 2021. The company’s core management team collectively possesses decades of successful experience in drug research and development, with particular expertise in the field of targeted protein degradation. Key leaders of the InnoCare team previously spearheaded PROTAC and molecular glue projects at U.S.-based innovative drug companies, successfully advancing related therapeutics into clinical trials.

Targeted Protein Degradation (TPD) has witnessed rapid development in recent years, representing an unprecedented opportunity for novel drug discovery. Compared with traditional inhibitors, TPD technology helps overcome drug resistance in cancer therapy and can target “undruggable” or “difficult-to-drug” proteins, thereby enabling drug development against a broader range of oncology targets and demonstrating broad prospects in cancer treatment. However, TPD also faces numerous challenges: PROTACs encounter medicinal chemistry hurdles, while molecular glues are limited by target scope and controllability issues. InnoCare Pharma has established two complementary platforms to address these current challenges. Meanwhile, the company has built its own high-efficiency integrated screening system and expanded its high-quality compound library. Leveraging these dual platforms and its expertise in TPD-based drug development, InnoCare aims to rapidly advance high-quality compounds into clinical trials. To this end, the company has assembled a pipeline targeting multiple anticancer indications.

Dr. Xie Weilin, Founder of YinuokangStatement: We sincerely appreciate the trust and support shown by the outstanding investors in this round toward the InnoCare team and our platform. The development of targeted protein degradation (TPD) therapeutics has entered an exciting era. However, as with any emerging technology, it currently faces numerous challenges. Leveraging our platform and expertise, we strive to advance next-generation TPD drugs into clinical trials as soon as possible, thereby providing effective treatment strategies for the many patients awaiting new therapies.

For this round of financing,Juming Venture CapitalStatement: Currently, many diseases still face therapeutic dilemmas in clinical practice, with a significant number of unmet medical needs. PROTAC technology offers unique potential advantages in enhancing drug safety and efficacy, overcoming drug resistance, and targeting traditionally "undruggable" proteins. As an emerging field clinically validated on a global scale, PROTAC holds promise for breakthrough solutions to unresolved clinical challenges. Dr. Xie Weilin, founder of InnoCare (Yinuokang), spent many years at Celgene and brings over two decades of R&D experience in the field of targeted protein degradation. He has led the development of multiple related products through to clinical stages, and the company’s core team possesses strong R&D capabilities. We are highly optimistic about the PROTAC sector and are delighted to partner with outstanding startups like InnoCare to support their rapid growth.

Chengyi InvestmentStatement: It is a great honor to participate in Innovo’s seed funding round. Professor Xie and his team have demonstrated the execution capability and high efficiency of an international-standard biotech company in corporate operations, team building, and pipeline advancement, which is truly impressive. Meanwhile, Professor Xie and his team’s outstanding scientific expertise in the field of protein degradation, decades of pharmaceutical accumulation, and deep resources in this area have also allowed us to appreciate the company’s profound foundation. We are delighted to partner with Innovo and look forward to its Chinese entity, Yinuokang, bringing world-class novel protein degradation drugs to China.

Hemeng Venture CapitalStatement: PROTAC represents one of the most exciting new drug development approaches in recent years, unlocking significant druggable potential for targets previously considered “undruggable,” which account for more than 80% of all targets, while effectively addressing issues such as drug resistance and dose-limiting toxicity. The project’s founders, Dr. Xie Weilin and Dr. Veronique Plantevin, are among the earliest scientists globally engaged in PROTAC drug development. They played key roles in advancing Celgene’s targeted protein degradation pipeline and bring extensive expertise to the field. Hemeng Ventures has long been committed to investing in cutting-edge innovative technologies in biomedicine, and we have great confidence in Yinuokang.

Yang Xiaobing, Head of the Biology and Medicine Division, National Technology Innovation Center of the Yangtze River Delta / Jiangsu Industrial Technology Research InstituteStatement: Against the backdrop of integrated scientific and technological innovation in the Yangtze River Delta region, we are pleased to participate alongside institutions from Jiangsu, Zhejiang, and Shanghai in the seed financing round of Innovo Therapeutics. This represents an innovative support model leveraging the Jiangsu Industrial Technology Research Institute’s (JITRI) advantage as a pilot zone for scientific and technological system reform. Differentiated innovative drugs, including PROTACs, constitute a therapeutic area of our long-term focus. We are delighted that, through the “Project Manager” reform initiative, we provided early-stage support to Dr. Xie Weilin and his team. We look forward to breakthroughs by Dr. Xie and his team—who bring extensive experience in scientific research, technology translation, and pipeline operations—in tackling challenging undruggable targets.

Zhang Junqi, Partner and Head of Healthcare at Qushi CapitalStatement: Protein degradation technology is a key area of focus for us. Targeted protein degradation has demonstrated significant potential in addressing challenges such as drug resistance and the difficulty of targeting certain proteins, showing broad prospects for development in oncology treatment. Dr. Xie and his team bring over 20 years of successful experience in the R&D of novel drugs related to protein degradation, along with a proven track record in the development and commercialization of multiple blockbuster therapies. Qushi Capital is pleased to have participated in the company’s financing and foundational establishment at its inception and will continue to support its growth. We believe that InnoCare Pharma will become a leading enterprise in the field of protein degradation.

Juming Venture Capital focuses on early-stage investments in innovative drugs, emerging biotechnologies, and medical devices (including diagnostics), partnering with entrepreneurs to support their growth and thereby addressing significant unmet clinical needs. Since its establishment in October 2018, Juming Venture Capital has cumulatively invested in more than 40 companies.

Chengyi Investment was established in 2015. Headquartered in Nanjing, it extends its reach across the Yangtze River Delta region. The firm specializes in equity investment and value-added services for early-stage and growth-stage companies, with a core focus on the biopharmaceutical and technological innovation sectors. Currently, Chengyi Investment manages funds totaling nearly RMB 2 billion. In the biopharmaceutical sector, it has invested in a portfolio of outstanding companies that represent future development trends, including Zhonghui Biologics, Boaoxin Biologics, and Kati Medicine. Beyond capital support, Chengyi Investment provides comprehensive, multi-level assistance to each portfolio company to foster innovation and growth, helping them evolve into industry leaders and effectively driving industrial transformation and social progress.

Hemeng Venture Capital’s Medical and Biological Fund focuses on investments in innovative medical, pharmaceutical, and frontier biotechnology sectors. It strategically targets niche segments such as novel cell and immunotherapy technologies, nucleic acid and gene-based drugs and vaccines, omics-based diagnostic methods and tools, advanced medical devices, and medical consumables. Adhering to an investment philosophy that equally emphasizes innovation, growth, and value, the fund has invested in projects including Pintai Optoelectronics, Rongzhi Biology, Aoruiji Medical, Angkang Technology, Kedou Medicine, Huakui Technology, Shangjian Biology, Suosi Medical, Zhongsheng Kangyuan, Huichuang Medical, and Wangshan Wangshui.

Jiangsu Industrial Technology Research Institute (JITRI) was established in December 2013. Positioned at the critical link between science and technology, JITRI is committed to breaking down ideological barriers and institutional constraints that hinder technological innovation. It explores mechanisms and systems to promote the translation of scientific and technological achievements, thereby clearing the pathway for transforming these achievements into real-world productive forces. Adhering to the philosophy of “treating R&D as an industry and technology as a commodity,” JITRI actively serves two bridging roles: “bridging universities (research institutions) with industry” and “bridging global innovation resources with Jiangsu Province.” By precisely targeting both the supply side of innovation resources and the demand side of enterprise technological needs, JITRI has constructed an industrial technology innovation system that integrates R&D platforms, industrial demands, and innovation resources, fostering deep integration among industry, academia, research, and application. Furthermore, it cultivates an industrial innovation ecosystem encompassing talent, finance, and spatial dimensions. In doing so, JITRI has pioneered a series of reform measures in areas such as the governance system for industrial technology R&D institutions, the development of R&D platforms, the recruitment, training, and incentivization of talent, and the efficient use of fiscal funds.

Qushi Capital, a subsidiary of Qushi Holding Group, serves as the group’s boutique investment banking arm. It has provided services to dozens of top-tier enterprises, including Haijieya, Suizhen Biotechnology, Suosi Medical, Gewu Zhihe, Jinshi Technology, Xinyi Biotechnology, Taoxuan Scientific Instruments, Pulimon, Delaisen, Qichen Medical, Yunyi Medical, Ruijing Biotechnology, Zhengxi Biotechnology, Huxiu Technology, Leyan Technology, and 36Kr Jingzhun, among others. These companies have secured billions in financing from renowned domestic and international funds, with investors including China Reform Holdings Corporation, Hillhouse Capital, Sequoia China, Yunfeng Capital, Huachuang Capital, GF Xinde, Lanxiang Asia, CMB International, Sinopharm Capital, Boyuan Capital, and Lilly Asia Ventures.

Qushi Holdings Group is committed to becoming a premier research-driven holding group. The company’s businesses include boutique investment banking services (Qushi Capital), primary equity investment (Qushi Growth Fund), secondary equity investment (Hongzhou Capital), research services (Qushi Research Institute), and physical industries and incubation (Qushi Industries). The company positions itself as a comprehensive service platform behind China’s top entrepreneurs.