Reliable Medical Completes Hundreds of Millions RMB Series A2 Financing to Advance Global Leadership in Clinical Mass Spectrometry Platform

VCBeat has learned that Reliable Med (Hangzhou) Medical Technology Co., Ltd. (“Reliable Med”) recently completed a Series A2 financing round worth hundreds of millions of yuan.This round of financing was led by CPE Yuanfeng, with Xiaochi Capital participating as a co-investor, while existing shareholders Legend Capital and Chende Capital continued to increase their investments.This round of financing will be used to accelerate the clinical translation, product upgrades, capacity expansion, and regulatory filings for the company’s mass spectrometry hardware and reagent products; to intensify channel development and clinical market promotion; and to further advance mass spectrometry technology as a standardized, automated, intelligent, and user-friendly testing platform in clinical diagnostics.

Reliable Med, established in June 2019, is dedicated to promoting the clinical implementation of integrated solutions for innovative diagnostic applications based on mass spectrometry technology. By continuously addressing critical bottlenecks in clinical mass spectrometry, the company drives the sustainable development of precision medicine in China and enhances the international competitiveness of China’s high-end mass spectrometry industry. After nearly three years of rapid development, Reliable Med has not only advanced the localization of clinical mass spectrometry but also grown into a national high-tech enterprise. The company focuses primarily on the research and development of mass spectrometry, chromatography, fully automated biological sample handling hardware, and supporting diagnostic reagents, while secondarily providing automated and intelligent integrated solutions for clinical laboratories.

Since its establishment, the company has received numerous honors, including recognition as a National High-Tech Enterprise, a Zhejiang Province Technology-Based SME, a Hangzhou Municipal Enterprise High-Tech R&D Center (Industrial Category), and a Hangzhou “Chuying Plan” Enterprise. It holds over 100 patents and software copyrights. The company has established two major R&D centers in Hangzhou and Suzhou, operates a GMP-compliant production and R&D base spanning more than 9,800 square meters, and has multiple products in various stages of R&D, manufacturing, and regulatory registration.

In 2021, the company’s independently developed Inductively Coupled Plasma Mass Spectrometer Inspector SQ60 obtained a Class II Medical Device Registration Certificate (Zhejiang Medical Device Registration No. 20212220150), and its supporting fully automated sample pretreatment instrument Sample ET60 and reagent kits have been successfully put into production.

The Inspector SQ60 was specifically developed for clinical applications. Its innovative clinical features meet customers’ needs for multi-element quantification. Characterized by low matrix effects, strong resistance to contamination, and outstanding stability, the product was included in the “2021 Zhejiang Province First Set of Major Technical Equipment” list. By thoroughly understanding end-user needs and pain points, the company enhanced the product’s medical attributes, user experience, and ease of use through design optimization. It streamlined the originally complex research-oriented control system into application software that better aligns with the operational habits of laboratory physicians, thereby making clinical mass spectrometry more user-friendly. The product has been honored with the 2022 Red Dot Product Design Award, a premier global industrial design accolade often referred to as the “Oscar” of the design world. It is now in use across more than 20 provinces and municipalities in China, including dozens of top-tier Grade A tertiary hospitals and large third-party clinical laboratories, significantly improving and meeting clinical demands.

Inductively Coupled Plasma Mass Spectrometry (ICP-MS) Analysis System (High-Throughput)

Image source: Reliable Med

Currently, Reliable Med’s second independently developed product—the clinical-grade ultra-high-performance liquid chromatography–triple quadrupole mass spectrometry (UHPLC-MS/MS) analyzer—has fully entered the research and development phase, with strong support from the Zhejiang Provincial Department of Science and Technology. The project undertaken by Reliable Med primarily focuses on achieving localization of key tandem mass spectrometry technologies, conducting systematic instrument testing (to reach a domestically leading and internationally advanced level), and ultimately developing a UHPLC-MS/MS analyzer dedicated to clinical diagnostics that features independent intellectual property rights, stable and reliable quality, and localized core components. In addition, Reliable Med will develop analytical methods, test kits, and specialized software for related clinical testing items, advance the National Medical Products Administration (NMPA) registration and certification of the instrument, and expand the application of domestically produced tandem mass spectrometry technology in the field of clinical diagnostics.

Zhejiang Provincial Key Research and Development Program (Ultra-High Performance Liquid Chromatography-Triple Quadrupole Mass Spectrometer)

Image source: Reliable Med

Zhejiang Provincial Key Research and Development Program (Ultra-High Performance Liquid Chromatography-Triple Quadrupole Mass Spectrometer)

Image source: Reliable Med

Regarding the success of this round of financing, the company’s founding team stated“We extend our gratitude to our investors for their trust, and to all sectors of society who have consistently paid attention to and supported Reliable Med. The company will take this as motivation to continue dedicating itself fully to the research, development, and industrialization of its clinical mass spectrometry product pipeline, providing high-quality products and services to clinical end-users, and making laboratory testing more precise, reliable, and efficient.”

Regarding the success of this round of financing, the investment team at CPE Yuanfeng stated“Mass spectrometry testing technology holds immense potential in the field of precision diagnostics due to its unique advantages. However, its adoption in China started relatively late, and the current penetration rate remains low. The Reliable Med team is dedicated to research and innovation in clinical mass spectrometry, continuously refining its technologies and products to meet clinical customer needs. It has successfully launched the first domestically developed clinical mass spectrometry system, which has gained widespread recognition from end-users. As one of the few companies in China with integrated capabilities in mass spectrometry hardware, reagent kit development, and clinical customized solutions, we look forward to Reliable Med introducing more solutions to address clinical needs, leading the mass spectrometry testing market, resolving pain points in clinical applications, benefiting more patients, and driving the overall development of the precision diagnostics industry.”

Yin Jie, Partner at Xiaochi Capital, stated“Life science instruments and equipment form the foundational tools for global biomedical and life science innovation, as well as the strategic high ground for setting standards in the biotechnology industry. This is one of the core investment focuses of Xiaochi Capital. Reliable Med is a company that has achieved independent innovation breakthroughs in China’s high-end mass spectrometry sector and has demonstrated the most solid implementation in the healthcare field. We hope that Reliable Med will emerge as the leading enterprise in China’s medical mass spectrometry industry.”

Zhou Quan, Managing Director at Legend Capital, stated:“Congratulations to the company on completing its new round of financing! As the lead investor in Series A, we have witnessed the company’s continuous innovation and breakthroughs in advancing the IVD transformation of scientific instruments, achieving rapid progress in business development and team building. We are increasing our investment in this round and look forward to the company making even greater contributions to promoting the development of clinical mass spectrometry in China.”

Chende Capital stated“Reliable Med is an early-stage investment by Chende Capital in the field of clinical mass spectrometry. Since the company’s first round of financing, Chende has continuously increased its investment. This decision is driven by two key factors: first, we are optimistic about the company’s strategy and layout in the clinical mass spectrometry sector, which involves developing clinically applicable mass spectrometry instruments while ensuring high-quality reagents and continuously expanding and promoting clinical applications; second, the team has demonstrated outstanding learning and growth capabilities, as well as efficient execution, over the past three years, with the rapid regulatory approval of their ICP-MS serving as a prime example. We are delighted that the company has successfully completed its new round of financing and look forward to seeing it reach new heights in product development and market promotion, refine its mass spectrometry solutions based on actual clinical needs, and become a benchmark enterprise in the field of clinical mass spectrometry.”

CPE Yuanfeng is an asset management firm with a global perspective and extensive experience in China. Committed to a long-term vision and value investment strategies, the firm focuses on providing innovative investment solutions to leading enterprises in four key sectors: healthcare and health, consumer and internet, technology and industry, and software and enterprise services. Currently, CPE Yuanfeng’s funds under management have earned the trust and support of more than 200 institutional investors both domestically and internationally, with cumulative assets under management exceeding RMB 100 billion. Over the past decade, the company’s core team has invested in more than 200 companies, accumulating profound industry insights and an extensive resource network. Leveraging a robust investment research framework and professional post-investment management capabilities, CPE Yuanfeng is dedicated to building long-term partnerships with its portfolio companies. It aims to support their sustainable development, deliver substantial returns to investors, drive overall industry progress, and create positive social impact.

Hangzhou Xiaochi Private Equity Fund Management Co., Ltd. (“Xiaochi Capital”) is a venture capital firm specializing in early-stage investments in the life sciences sector. The company focuses on cutting-edge global innovations in biopharmaceuticals and medical technologies that address unmet clinical needs and feature high barriers to entry, investing in and incubating life science enterprises with sustainable competitive advantages.

Founder and Chief Investment Officer of Xiaochi Capital, with nearly a decade of focus on investment in biopharmaceuticals and general health. He has led and participated in the capitalization of dozens of projects in the biopharmaceutical and healthcare sectors.

The management team of Xiaochi Capital hails from top-tier venture capital firms, multinational pharmaceutical companies, and CROs. The investment team boasts strong academic backgrounds, extensive investment experience, and robust industry resources.

Legend Capital has long focused on investments in the medical device and diagnostics sectors, prioritizing three key themes: first, addressing unmet clinical needs in major diseases, particularly chronic conditions; second, identifying companies with technological leadership or uniqueness that have become or have the potential to become leaders in their respective niches; and third, capitalizing on “Device+” investment opportunities arising from the integration of cross-disciplinary technologies—such as artificial intelligence, the Internet of Things, and big data—with medical devices. To date, Legend Capital has invested in a series of leading companies in specialized fields, including Kangzhong Medical (688607.SH), Axonics (AXNX), New Horizon Health (06606.HK), Mingde Biology (002932.SZ), Berry Genomics (000710.SZ), Aohua Endoscopy (688212.SH), Kemei Diagnostics (688468.SH), Bai Xin An (02185.HK), Beijing Tianxing, Xingtong Medical, Guoke Hengtai, Hailai Xinchuang, Yeasen Biotechnology, and Diluo Medical.

Chende Capital, established in 2013, is an investment firm dedicated to innovative medical technologies and frontier biotechnology sectors. It manages multiple RMB and USD funds with a total asset under management exceeding RMB 7 billion. Led by a professional team with extensive experience in the healthcare industry, Chende Capital adheres to the investment philosophy of “focus, excellence, and reputation.” Leveraging deep industrial resources and years of in-depth research and engagement in the healthcare sector, the firm promptly identifies emerging global technological trends and capitalizes on investment opportunities driven by technological innovation. To date, it has completed investments in over 70 projects and achieved successful exits from multiple portfolio companies.