Mindfront Health Secures Pre-A Strategic Financing from Northern Light Venture Capital to Accelerate China Expansion

Manlang Medical, which specializes in integrated psychiatric and psychological diagnosis and treatment as well as evidence-based psychotherapy services, announced today that it has completed its Pre-A round strategic financing and independent spin-off with the support of Northern Light Venture Capital, laying a solid foundation for accelerated growth in the future.

Manlang Medical officially entered the Chinese market in 2020. Leveraging the mature clinical service offerings and operational systems of Luye Medical Group’s 18 specialized psychiatric institutions in Australia, and with ongoing support from Australian experts in clinical care, psychology, and management, as well as strategic collaborations and expert backing from renowned domestic psychiatric institutions, Manlang Medical has established six facilities in Shanghai, Shenzhen, Guangzhou, and Xi’an. It has also launched an internet healthcare service platform, thereby achieving initial scale in both its offline institutions and online internet healthcare services.

Tang Dekai, CEO of Manlang Medical, stated, “Following this round of strategic investment from Northern Light Venture Capital and the completion of our spin-off from the parent group, Manlang Medical will remain steadfast in building comprehensive diagnostic and treatment capabilities for mental and psychological health. We are committed to advancing an integrated online-and-offline medical service system, delivering professional, evidence-based, and accessible mental and psychological healthcare to the hundreds of millions of individuals in China living with mental disorders or suboptimal psychological well-being.”

“Appointments at the psychotherapy centers of some public medical institutions are booked out for several months, or even up to six months. There is a substantial demand for professional psychiatric and psychological medical services, yet the supply is severely insufficient.” Professor Yu Xin, Honorary Chairman of the Chinese Society of Psychiatry of the Chinese Medical Association and affiliated with Peking University Sixth Hospital, pointed out, “The demand for mental health diagnosis and treatment, as well as the number of patients seeking care, is steadily increasing in China. In addition to severe mental disorders, the lifetime prevalence of mental disorders among the Chinese population has reached 16.6%, while individuals experiencing suboptimal psychological health due to workplace and academic stress, marital relationships, child-rearing, and social interactions account for half of the urban resident population. The severe scarcity of qualified and experienced professional medical resources in providing integrated mental health services—combining biological treatments (pharmacotherapy and physical therapy) with psychosocial interventions—has become a current shortcoming in mental health service delivery. Society requires more professional institutions to meet the growing demand for high-quality mental health services.”

In September 2020, Mindfront Medical entered into a strategic partnership with the Shanghai Mental Health Center. At the signing ceremony, Professor Xu Yifeng, then Director of the Shanghai Mental Health Center, stated, “We have great confidence in the Mindfront Medical team’s outstanding operational capabilities and its international professional background. Its unique integrated diagnostic and therapeutic system for psychiatric and psychological conditions, along with its service model, is internationally leading, and its clinical and academic achievements have gained global influence. We will establish a close and pragmatic collaborative framework in areas such as multidisciplinary team cooperation, diagnostic and treatment mechanisms, and disciplinary development, to achieve complementary advantages and contribute to the advancement of China’s mental health service system.”

“Aurora Venture Partners firmly believes that China’s healthcare industry will undergo significant transformation over the next 20 to 30 years. There is substantial room for growth in both life sciences and healthcare services. Establishing professional expertise as a dynamic moat and adhering to long-term value are hallmark characteristics of ‘unicorn companies,’” said Ms. Yu Fang, Partner at Aurora Venture Partners. “Manlang Health has systematically localized international, cutting-edge evidence-based diagnosis and treatment systems, marking a fresh development in China’s private specialized mental health sector. Manlang’s core management team takes a long-term view, crafting a new blueprint for sustainable growth by focusing on academic excellence, service quality, and operational efficiency. We are committed to partnering with Manlang to co-create the future.”

Ms. Liu Aona, Executive Chairman of Luye Medical Group, stated, “As a global mental health service brand strategically incubated by Luye Medical Group, Mindfront Medical has now completed its spin-off and is poised for growth. The introduction of strategic Pre-A investment from Northern Light Venture Capital reflects the capital market’s recognition and expectations of Mindfront Medical’s business value and development prospects. In the future, we aim to introduce more high-quality strategic investment partners to accelerate the implementation of Mindfront Medical’s comprehensive evidence-based diagnosis and treatment system for psychiatric and psychological disorders in China, establishing an industry benchmark and bringing hope to more families through dedicated and sincere services.”

It is understood that there are three main categories of conditions that jeopardize the mental health of the public. The first category comprises severe mental disorders; due to their potential social risks, the diagnosis, treatment, and rehabilitation of these disorders constitute the primary focus of China’s Mental Health Law. The second category includes common mental disorders, such as depressive and anxiety disorders, which account for the majority of the 16.6% lifetime prevalence rate of mental disorders among Chinese residents reported by the China Mental Health Survey (CMHS). This group is increasingly becoming the primary patient population seeking care at specialized mental health institutions. The third category encompasses psychological and behavioral issues in the general population, where individuals experiencing suboptimal mental health due to workplace and academic stress, marital relationships, child-rearing, and social interactions now represent half of the urban resident population.

Meanwhile, psychological issues among children and adolescents are significant. According to the Report on the Development of National Mental Health in China (2019–2020), a 2020 survey conducted among nearly 270 million Chinese adolescents revealed an alarming detection rate of 24.6% for depressive symptom clusters. Furthermore, problems such as online gaming addiction, school refusal, and non-suicidal self-injury are becoming increasingly prevalent in this population.

A growing body of evidence-based research demonstrates that psychological interventions are highly effective for various mental disorders and psychological-behavioral issues. In authoritative clinical guidelines, psychotherapy has become the first-line intervention for certain mental disorders and psychological problems, particularly for behavioral and mental disorders in adolescents.

Greenleaf Healthcare Group operates 18 specialized psychiatric and psychological hospitals in Australia, boasting over 40 years of professional service experience. It has established a mature and comprehensive multidisciplinary evidence-based diagnosis and treatment system along with integrated therapeutic services, ranking among the global leaders. Psychiatric and psychological experts from Greenleaf’s Australian division have been frequently invited to attend major academic conferences on psychiatry and psychology in China. In collaboration with the Continuing Education Group of the Chinese Society of Psychiatry under the Chinese Medical Association, they have continuously co-organized training courses on Sino-Australian psychiatric and psychological diagnostic and therapeutic techniques, thereby promoting cutting-edge academic exchanges between China and Australia in the field of mental health care.

Manlang Health is a global brand specializing in mental health services. Committed to introducing Australia’s integrated psychiatric and psychological care models, evidence-based psychotherapy, and non-pharmacological intervention systems to China, Manlang Health collaborates with leading public mental health institutions and renowned expert teams domestically. It provides evidence-based pharmacological treatments and non-pharmacological interventions, crafting a personalized, integrated, evidence-based treatment system tailored to the Chinese population. Currently, Manlang Health operates medical facilities and offers internet-based healthcare services in Shanghai, Guangzhou, Shenzhen, and Xi’an, delivering a comprehensive range of professional services including psychiatric diagnosis and treatment, psychological counseling/therapy, group therapy, art therapy, and psychological education courses.

Northern Light Venture Capital was founded by Mr. Deng Feng in 2005. It is a venture capital firm dedicated to “empowering world-class Chinese entrepreneurs and cultivating world-class Chinese enterprises.” Currently, it manages six U.S. dollar funds and four RMB funds, with assets under management exceeding RMB 30 billion. The firm has long focused on investing in early-stage, technology-driven innovative companies. To date, Northern Light has invested in more than 400 outstanding enterprises in the B2B, healthcare, and B2C consumer sectors, including Meituan, ThunderSoft, ChineseAll, BGI Genomics, Blueport Interactive, Spreadtrum Communications, Tencent Music, Hanting Hotel, GigaDevice, Burning Rock Biotech, CITIC Pharmaceutical, Anji Microelectronics, Hillstone Networks, Worldia, Zelt Pharma, iRay Technology, and Taimei Medical Technology.

Luye Medical Group is the healthcare services arm of Luye Life Sciences Group, a leading private healthcare provider in the Asia-Pacific region dedicated to delivering value-based, high-quality, and innovative medical services. With over 30 medical institutions across China, Australia, and Singapore, the group strives to become a leader in specialized fields such as mental health, rehabilitation, oncology, and cardiology.