Changmugu Medical Secures RMB 540 Million Series B Funding to Advance AI and Robotic Solutions in Orthopedic Surgery

Longwood Valley, a Provider of Integrated Smart Orthopedic Surgery Solutions, Announces Completion of RMB 540 Million Series B FinancingBeijing Longwood Valley Medical Technology Co., Ltd. (“Longwood Valley”) has announced the completion of its RMB 540 million Series B financing round. The round was jointly led by CICC Qide Fund under CICC Capital, IDG Capital, and CDH VGC, with existing investors Yuesheng Venture Capital and Zhongfazhan Qihang Investment making additional investments. The proceeds from this round will be primarily used to accelerate the research and development of new artificial intelligence (AI) and surgical robot products for orthopedics, clinical registration, production expansion, and global market promotion. China Renaissance served as the exclusive financial advisor to Longwood Valley in this transaction.

This funding round marks Longwood Valley’s second raise this year, following its RMB 120 million Pre-B round in February. In less than a year, the company has secured a total of RMB 660 million in financing, making it the most heavily funded and investor-sought-after enterprise in the intelligent orthopedics sector since 2021.

Longwood Valley ROPA AI Joint Replacement Surgical Robot

Longwood Valley is a leading provider of integrated intelligent surgical solutions for orthopedics in China. Founded in 2018 in the Longwood Medical Area associated with Harvard University and in Silicon Valley, home to Stanford University, the company is now headquartered in the Beijing Economic-Technological Development Area. Longwood Valley specializes in the research and development of artificial intelligence (AI) and digital systems for orthopedics, offering hospitals integrated intelligent surgical solutions that include AI-assisted diagnosis, personalized surgical planning, surgical robots, and postoperative assessment.

In China, the number of patients with joint diseases has exceeded 10% of the total population. As population aging intensifies, the incidence of joint diseases will continue to rise. As the definitive treatment for joint diseases, artificial joint replacement surgery holds irreplaceable value in their management. In China, the volume of such surgeries is growing rapidly at an annual rate of 20%–25%, surpassing one million procedures in 2020.

Dr. Zhang Yiling, Chairman of Longwood Valley, stated, “Artificial joint replacement surgery is technically demanding, requires high precision, and involves a steep learning curve for surgeons, which severely hinders young and grassroots doctors in China from effectively performing these procedures. Even in large tertiary Grade-A hospitals, it remains highly challenging for experienced lead surgeons to achieve precision and perfection in every operation, attaining the ‘Forgotten Joint’ outcome. There is a clear and pressing demand among Chinese orthopedic surgeons for precise, intelligent, and digital solutions in orthopedic surgery.”

Joint replacement surgery under the traditional model relies heavily on the experience of orthopedic surgeons. Preoperatively, surgeons often have to repeatedly measure and compare patients’ X-rays and CT scans to determine the series, model, and placement position of the artificial joint implants. However, since X-rays and CT scans present two-dimensional images, surgeons cannot visualize the bone condition intuitively; they must rely on their experience and spatial imagination, making it difficult to ensure surgical precision. Even with three-dimensional reconstruction of the surgical site, the lack of detailed three-dimensional information about the artificial joint prosthesis prevents surgeons from accurately controlling the precision of prosthetic implantation.

To address the current practical challenges and dilemmas in artificial joint replacement surgery in China, Longwood Valley has cultivated a world-class R&D team with backgrounds from top-tier institutions such as Harvard University, Stanford University, Tsinghua University, and Peking University. The company maintains long-term, in-depth collaborations with the National Clinical Research Center for Orthopaedics, Sports Medicine and Rehabilitation, as well as Tsinghua University. By integrating medical expertise with engineering through partnerships with orthopedic authorities at top-tier (Grade 3A) hospitals—including PLA General Hospital (301 Hospital), Beijing Jishuitan Hospital, Peking Union Medical College Hospital, China-Japan Friendship Hospital, Shanghai Sixth People’s Hospital Affiliated to Shanghai Jiao Tong University, The Second Affiliated Hospital of Xi’an Jiaotong University, West China Hospital of Sichuan University, and The Third Affiliated Hospital of Southern Medical University—Longwood Valley has transformed extensive surgical experience into standardized algorithms. Leveraging artificial intelligence and machine learning technologies, the company has developed AIJOINT, an intelligent joint replacement solution that provides orthopedic surgeons with comprehensive support across the entire workflow, including preoperative diagnosis, surgical planning, intraoperative navigation and positioning, and postoperative follow-up. Currently, the AIJOINT system covers five typical procedures: total hip arthroplasty, hip revision arthroplasty, unicompartmental knee arthroplasty, total knee arthroplasty, and knee revision arthroplasty. It enables rapid 3D reconstruction, intelligent image segmentation, smart prosthesis matching, accurate positioning, and precise osteotomy. The system provides key reference metrics and intelligent measurements for lower limb alignment, femoral valgus angle, femoral external rotation angle, and osteotomy thickness, serving as an “AI brain” for orthopedic surgeons.

Building on the advanced AIJOINT orthopedic artificial intelligence system, the Longwood Valley team has integrated a surgical robot system capable of precisely executing intelligent planning operations into its AI core, launching the Longwood Valley ROPA (Robotic Physician Assistant) AI-powered joint replacement surgical robot. By leveraging deep learning from the surgical expertise of numerous experts, the ROPA AI joint replacement surgical robot provides optimal intelligent solutions during preoperative planning. The system enables precise preoperative planning and accurate intraoperative positioning, addressing issues such as insufficient surgical precision and excessive reliance on experience in traditional joint replacement surgeries.

In July 2021, Longwood Valley, as Johnson & Johnson MedTech’s strategic partner in the field of digital orthopedics in China, launched comprehensive commercial cooperation for AIJOINT. This initiative aims to leverage cutting-edge technologies such as artificial intelligence, machine learning, and big data to transform the extensive surgical expertise of top-tier joint surgery authorities into standardized algorithms through deep learning and training, thereby providing intelligent, precision clinical solutions and continuously promoting the standardization, precision, and personalization of surgical procedures. This marks another milestone collaboration between Longwood Valley and Johnson & Johnson MedTech, following their joint launch in 2019 of the “China Joint Surgery AI-Assisted 3D Surgical Precision Diagnosis and Treatment Project.” Moving forward, both parties will continue to drive the development of digital orthopedic surgery, benefiting joint disease patients across China.

Dr. Zhang Yiling, Chairman of Longwood Valley, stated, “The digitalization, intelligence, and precision of orthopedic surgery will become key development directions in the field of orthopedics. Longwood Valley has long been dedicated to the research, development, and application of artificial intelligence and surgical robot systems in orthopedics, striving to provide personalized and customized precision medical services for every orthopedic patient. In the future, we will continue to deepen our collaboration with Chinese orthopedic experts through close integration of medicine and engineering, developing digital and intelligent products of significant clinical value. We aim to comprehensively cover all aspects of digital diagnosis and treatment in orthopedics, leveraging innovative technologies to drive digital transformation in the orthopedic industry, support national tiered diagnosis and treatment policies, and facilitate the decentralization of high-quality medical resources, thereby continuously creating long-term value for patients in China.”

Liang Ying, Managing Director of CICC Capital and Head of the CICC Qide Fund, stated, “As frontier technologies such as artificial intelligence and medical robots continue to mature, the field of surgical diagnosis and treatment is accelerating into a revolutionary wave of digitalization. We highly recognize Longwood Valley’s strategic layout and leading advantages in the orthopedic digitalization sector. Its innovative product portfolio, including AI-driven solutions and surgical robots, not only helps significantly enhance the precision, standardization, and intelligence of orthopedic surgeries but also demonstrates greater feasibility for rapid commercial implementation. We look forward to the Longwood Valley team continuing to leverage its strong R&D capabilities and exceptional execution efficiency to continuously develop innovative diagnostic and therapeutic products that meet clinical needs, thereby supporting clinicians and benefiting patients at large.”

Liu Yikun, Managing Director at IDG Capital, stated, “China has a large population base and an increasingly aging demographic. Traditional surgical procedures are complex and time-consuming, making them difficult to rapidly promote across hospitals at all levels and unable to meet the growing demand for joint replacement surgeries. In this context, efficient and convenient digital orthopedic surgical solutions have become the future trend. The Longwood Valley team possesses strong international vision and comprehensive execution capabilities, has timely grasped industry development dynamics, and has completed the layout of its digital orthopedic product line featuring ‘AI + surgical robots,’ providing innovative solutions for more patients.”

Gao Jieliang, Partner at CDH VGC, stated, “Digital healthcare is making surgeries more standardized, precise, and personalized, with the potential to comprehensively enhance clinical benefits for patients. Given its significant social value, it has long been a key sector of our focus. We believe that the integration of AI-based surgical planning with surgical navigation and robotic systems represents the future direction of digital surgery. Longwood Valley, specializing in orthopedics, is a rare innovative company in China possessing a complete portfolio of such digital products. The comprehensive digital orthopedic solution involves multiple products and interdisciplinary collaboration. The team has accumulated profound technical expertise across medicine, artificial intelligence, mechanical engineering, and other disciplines. We are highly optimistic about the future of digital orthopedics and hold the team’s professionalism and execution capabilities in high regard. We will continue to support the company’s development.”

Dr. Lin Yi, Managing Partner of Yuansheng Venture Capital, stated, “Longwood Valley is a leading enterprise in the digitalization of bone and joint surgery in China. By empowering orthopedic surgeons with AI computing and robotic technologies, the company has transformed traditional surgical methods that rely heavily on physicians’ experience, significantly shortening the learning curve for surgeons and benefiting joint surgery patients across China. We are pleased to participate again in Longwood Valley’s Series B financing, following our involvement in its Pre-B round. We are satisfied with the progress the company has made in product R&D, regulatory approval, and commercialization, particularly noting that its AIJOINT product has been adopted by 400 Grade A tertiary hospitals in China. We look forward to providing continued support for the company’s ongoing R&D and commercialization efforts.”

Wang Chunping, Founding Partner of Zhongguancun Qihang Investment, stated, “The Qihang team has long focused on the implementation and commercialization of artificial intelligence in vertical healthcare sectors. In March 2020, at the height of the pandemic, we firmly led Longwood Valley’s Series A financing round. In less than two years, the company expanded its product line from a hip replacement surgical planning system to include knee replacement, unicompartmental knee arthroplasty, and joint revision surgeries, forming a comprehensive solution spanning intelligent surgical planning, surgical navigation, and surgical robots. Multiple products have entered the clinical registration phase, and have successfully assisted in over 10,000 joint replacement procedures across more than 400 Grade IIIA hospitals. The team’s professionalism, dedication, and exceptional execution continue to deliver positive surprises to partners and shareholders. Therefore, we are making an additional investment in this round, aiming to continuously empower the company’s growth and help Longwood Valley evolve into an internationally leading industry enterprise.”

As the exclusive financial advisor for this transaction, Li Gang, Partner and Co-Head of the Healthcare Industry at China Renaissance Capital (CICC), stated: “Precision, digitalization, and intelligence in orthopedics have long been key sectors of focus for China Renaissance Capital. Longwood Valley boasts a rare team with top-tier expertise spanning medicine, engineering, and artificial intelligence, and has launched globally leading digital orthopedic products that have gained recognition and support from Johnson & Johnson, the global leader in orthopedics. We are honored to have assisted such a young, professional, dynamic, and highly execution-oriented team as Longwood Valley in completing its new round of financing. China Renaissance Capital will continue to work closely with the company to accelerate the development of its subsequent product pipeline.”

Beijing Longwood Valley MedTech Co., Ltd. is a leading provider of integrated intelligent solutions for orthopedic surgery, offering end-to-end services to hospital orthopedic departments, including AI-assisted diagnosis, personalized surgical planning, surgical robots, and postoperative assessment. Founded in 2018 in the Longwood Medical Area (home to Harvard Medical School) and Silicon Valley (home to Stanford University), the company is now headquartered in the Beijing Economic-Technological Development Area. Its R&D team comprises experts from world-class institutions such as Harvard University, Stanford University, Tsinghua University, and Peking University. Since its establishment, Longwood Valley has been recognized as a National High-Tech Enterprise, Zhongguancun High-Tech Enterprise, Zhongguancun Golden Seed Enterprise, Zhongguancun Eagle Talent Enterprise, Zhongguancun Technology-Based Small and Micro Enterprise, one of China’s Top 50 Medical AI Companies, one of Global Times’ Top 10 Most Investable Companies, one of the Future Healthcare 100, and one of the Top 20 High-Growth Enterprises in Smart Healthcare. The company currently holds over 160 domestic and international invention patents and software copyrights. Its AIJOINT system has covered 29 provincial-level administrative regions (including municipalities and autonomous regions) across China and has been deployed in more than 400 Grade IIIA hospitals nationwide. Committed to creating Chinese-made, world-leading AI and surgical robot solutions for orthopedics, Longwood Valley aims to benefit countless Chinese patients and make no surgery difficult.

CICC Qide (Xiamen) Innovative Biopharmaceutical Equity Investment Fund (hereinafter referred to as the “CICC Qide Fund”) is an equity investment fund under CICC Capital Management Co., Ltd. (hereinafter referred to as “CICC Capital”) that focuses on innovative pharmaceuticals, marking a significant breakthrough in CICC Capital’s strategic layout within the biopharmaceutical industry. Leveraging its strong performance track record, brand reputation, and investment management capabilities, the CICC Qide Fund has gained recognition and support from numerous renowned fund-of-funds, institutional investors, listed companies, and CICC Wealth clients. It successfully completed oversubscription against market headwinds in a short period, becoming one of the largest RMB-denominated biopharmaceutical funds in the past two years.

IDG Capital is a globally leading private equity investment firm. With nearly 30 years of development, the firm has accumulated assets under management exceeding RMB 150 billion. IDG Capital focuses on leading enterprises in sectors such as Internet and High-Tech (TMT), New Consumption and Services, Culture and Entertainment, Healthcare, Advanced Manufacturing, and Clean Energy. Its investment scope covers all stages, including start-up, growth, mature phases, as well as mergers and acquisitions and restructuring, with investment sizes ranging from millions to hundreds of millions of US dollars.

CDH Investments, established in 2002, is one of the most influential alternative asset management firms in China. To date, its assets under management exceed RMB 170 billion. CDH VGC is a fund under CDH Investments focused on innovation and growth-stage investments, primarily covering four key sectors: healthcare, consumer-facing (ToC) consumption, business-facing (ToB) enterprise services, and technological innovation. The core philosophy of CDH Investments is to partner with strivers to create long-term value. Over the past decade, CDH has worked alongside numerous outstanding enterprises in fields such as biopharmaceuticals, medical devices, healthcare services, and internet-based healthcare. CDH firmly believes that allocating resources to exceptional healthcare companies will inevitably drive progress within the industry and society at large.

YuanSheng Venture Capital is an investment firm focused on the early and growth stages of the healthcare and medical sectors. Headquartered in Suzhou BioBAY, it maintains a global reach. The firm currently manages approximately RMB 7 billion in assets and has completed investments in over 100 high-quality projects, primarily spanning new drug development, medical devices, in vitro diagnostics (IVD), and healthcare services. YuanSheng Venture Capital has delivered substantial investment returns and 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 a team of seasoned professional investors and world-class scientific advisors, the firm possesses extensive experience in entrepreneurship, venture capital, and corporate operations within the biopharmaceutical industry and related fields. Leveraging its focused strategy and abundant industry resources, YuanSheng Venture Capital is committed to becoming one of the most successful healthcare and pharmaceutical venture capital funds in China.

Beijing Qihang Investment Management Co., Ltd. (hereinafter referred to as “Qihang Investment”) is a specialized, market-oriented investment platform meticulously established by Zhongguancun Development Group. Currently, Qihang Investment manages four funds. Leveraging the resource advantages of Zhongguancun Development Group and its outstanding investment management team, the firm focuses on investing in projects that facilitate the commercialization of cutting-edge, disruptive, and innovative technological achievements in the fields of next-generation information technology, biopharmaceuticals, and intelligent manufacturing. It is committed to becoming a renowned institution in the field of sci-tech innovation investment within the Zhongguancun Demonstration Zone and across China. Representative investment cases of the Qihang team in the biopharmaceutical sector include BeiGene, InnoCare Pharma, Allgens Med, Eyebright Medical, Tinavi Medical Technologies, Asieris Pharmaceuticals, Sena Bioscience, and Bluepha Microbiology.

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