Intemo Medical Completes Tens of Millions of RMB Series A Financing to Advance Innovative Minimally Invasive Surgical Solutions

VCBeat has learned at the earliest opportunity that,Recently, Interm (Wuhan) Medical Technology Co., Ltd., a developer of integrated solutions for minimally invasive surgical instruments（Abbreviated as Interm Medical）Announces Completion of Tens of Millions of YuanSeries A Financing: The investor in this round is Jinruilin Asset, and the funds will be primarily used for product R&D and market promotion.

Intem Medical, established in June 2017 and located in Wuhan Optics Valley Bio-city, boasts a production workshop of over 1,400 square meters compliant with the ISO 13485 international quality management system, along with a team of precision manufacturing engineers and quality regulatory affairs specialists.

Since its establishment, Interm Medical has developed a series of innovative products covering port establishment, dissection, cutting, suturing, ligation, high-frequency electrosurgical cutting/coagulation, anastomosis, and surgical port closure in laparoscopic surgery, comprising five series and more than 30 products.

By integrating clinical expertise in minimally invasive surgery with industrial design and precision manufacturing, Intem Medical develops high-end minimally invasive surgical instruments, establishing the “Intem Model” for both routine and breakthrough surgical devices to enhance the richness and innovativeness of its product portfolio.

Minimally Invasive Surgical Instruments and Accessories (MISIA) are the primary medical devices used in minimally invasive surgical procedures (excluding endoscopes). The main product types of MISIA include: disposable trocars, polymer ligation clips, absorbable ligation clips, disposable electrocoagulation forceps, laparoscopic staplers, disposable blades for ultrasonic cutting and hemostasis systems, as well as reusable trocars and surgical forceps.

Ligation clips are implantable, single-use medical devices used in surgical procedures, including minimally invasive surgeries, to rapidly occlude blood vessels and other tubular tissue structures. The number of ligation clips used per surgery ranges from 2 to 15. Ligation clips are categorized into three types: titanium ligation clips, polymer ligation clips, and absorbable ligation clips.

Currently, multi-fire titanium clips are available in China; however, they present uncertainties such as radiolucency and a propensity for slippage. There is an urgent market need for polymeric multi-fire ligation clips to address these clinical challenges. Polymeric ligation clips are radiopaque and moderately priced, representing the largest market segment within the ligation clip industry.

The market size of polymer ligation clips was RMB 1.033 billion in 2019, and is projected to grow to RMB 2.833 billion by 2024, representing a compound annual growth rate (CAGR) of 15.8%. In 2015, 79.5% of polymer ligation clips in China were imported; however, the market share of domestically produced ligation clips has been increasing year by year. In 2019, domestically produced products accounted for 62.5% of the domestic polymer ligation clip market, indicating there is still room for further substitution of imported products. As import substitution continues, the market share of domestically produced products is expected to rise further.

Interm Hem-o-lok Clip ApplierIt is the only domestically developed absorbable polymer automatic continuous-fire ligation clip in China, enabling efficient and continuous ligation during surgery. With a variety of cartridge and staple specifications, it meets diverse surgical needs and represents China’s first original high-tech product of its kind.

TrocarA trocar is a pen-shaped medical device used in minimally invasive surgery to create channels for endoscopes or other surgical instruments via percutaneous puncture through the abdominal wall or chest. Typically, three to four trocars are required for each procedure.

Trocar cannulas can be classified into disposable trocar cannulas and reusable trocar cannulas. Disposable trocar cannulas can significantly reduce the risk of infection for patients, alleviate the sterilization burden on hospitals, and are increasingly replacing the use of reusable trocar cannulas.

At ex-factory prices, the sales revenue of disposable trocar cannulas in China was RMB 1.777 billion in 2019, and is projected to grow to RMB 5.091 billion by 2024, representing a compound annual growth rate (CAGR) of 23.4%.

Intem Percutaneous Ultra-Minimally Invasive Surgical System (with Electrical Components)This product integrates disposable trocars used in laparoscopic surgery with traditional 5mm surgical instruments into a novel device featuring a reusable, sterilizable handle. It is compatible with various high-frequency surgical energy platforms according to clinical needs. With its 2.9mm needle-like shaft, it eliminates the need for trocars and suturing, reduces the number of trocars by 2–3, minimizes trauma, and promotes better postoperative recovery.

It also maintains the capability to grasp, retract, manipulate, cut, cauterize, and ligate tissue using 5mm surgical instruments. Furthermore, its operating head can be replaced according to different surgical requirements, thereby reducing the risk of infection and injury. As the first domestically developed original high-tech product of its kind in China, it is single-use, billable, and has no comparable competitors.

Disposable electrosurgical coagulation forceps are currently classified as Class II and Class III medical devices. In 2019, the market size for disposable electrosurgical coagulation forceps in China was RMB 216 million, and it is projected to reach RMB 762 million by 2024, representing a compound annual growth rate (CAGR) of 28.7%.

In the disposable electrosurgical market, Interm Medical has also upgraded its products and expects to obtain approval for a new Class III energized percutaneous ultra-minimally invasive surgical system in 2022, which will better meet market demand.

According to the prospectus data of minimally invasive interventional companies, the market size of laparoscopic staplers was RMB 4.556 billion in 2019 and is expected to grow to RMB 11.660 billion by 2024, with a compound annual growth rate (CAGR) of 20.7%. Currently, the domestic laparoscopic stapler market is still dominated by imported products. In 2019, the market share of domestically produced products was only 29.7%, indicating significant room for growth. It is projected that the market share of domestically produced products will rise to 49.8% by 2024.

Intem’s “Endoscopic Articulating Linear Cutter Stapler” matches the quality standards of Johnson & Johnson. It features China’s only integrated forged ultra-thin anvil, allowing smooth entry into tissue for cutting and stapling through a small tissue opening. The robust, integrated forged anvil and jaw apply uniform and consistent pressure to the tissue, ensuring consistent staple formation at both the proximal and distal ends of the staple line.

To address the closure issues associated with traditional disposable trocars, Interm has developed a targeted product, the “Disposable Minimally Invasive Fascia Suturing Device,” which features safety and efficiency. It ensures tight closure of the fascia and peritoneum, significantly reducing the risk of port-site hernias and wound dehiscence.

Leveraging its robust R&D platform and technical team, Interm Medical not only develops and manufactures commonly used instruments for minimally invasive surgery as well as breakthrough devices, but also empowers experts across China to transform product concepts derived from years of clinical experience into tangible products.such as the national key R&D project currently under development—the world’s only minimally invasive treatment system for obesity cardiomyopathy.

This minimally invasive treatment system for obesity-related cardiomyopathy will revolutionize the traditional open surgical approach by transforming it into a minimally invasive procedure. The entire operation can be performed without cardiac arrest or cardiopulmonary bypass. This novel surgical technique significantly reduces procedural complexity, shortens operative time, and steepens the learning curve for surgeons.

The collaborative co-development model pioneered by Interm Medical has garnered significant attention and recognition from numerous clinical experts in China. In addition to the aforementioned National Key R&D Program project on a minimally invasive treatment system for obese cardiomyopathy, Interm Medical has also launched collaborative development initiatives for innovative minimally invasive surgical products together with clinical experts from three domestic hospitals.

Intem Medical’s R&D and production model features a dual-drive approach that advances in tandem: independent in-house R&D and manufacturing, coupled with collaborative development with clinical experts across China.

Leveraging its professional R&D platform and technical team, Interm Medical provides robust support for experts’ conceptualizations. This innovation is merely the beginning; in the future, Interm will strive to assist clinical experts across China in transforming more concepts into products, jointly developing additional high-tech solutions, and contributing to the cause of human health.

Compared with traditional open surgery, which involves significant trauma, minimally invasive surgical procedures cause less tissue damage, resulting in reduced pain, smaller scars, fewer complications, lower risk of infection, and shorter hospital stays and recovery times. Due to these advantages, an increasing number of physicians and patients are favoring minimally invasive surgery.

The number of minimally invasive surgical procedures performed per million population in China, and the penetration rate of such procedures, increased from 4,248 cases and 28.5% in 2015 to 8,514 cases and 38.1% in 2019, respectively.

However, compared with the United States, the penetration rate of minimally invasive surgery in China remains low. In 2019, the number of minimally invasive surgical procedures per million population and the penetration rate of minimally invasive surgery in the United States were 16,877 cases and 80.1%, respectively.

As patients’ affordability improves, physicians’ awareness and acceptance of minimally invasive surgical procedures increase, and the number of hospitals and surgeons capable of performing such procedures grows, minimally invasive surgery will increasingly replace open surgery.

China’s medical device industry is currently entering a golden period of development, and China has become the world’s second-largest medical device market. Driven by population aging, rising incidence of chronic diseases, continuous growth in the number of hospitals and physicians, improved affordability, and favorable government policies, the market size of medical devices in China is expected to expand further, thereby promoting the development of China’s minimally invasive surgical device industry.

According to the “2020–2026 Report on Market Scale and Investment Prospects of China’s Minimally Invasive Treatment Market” released by Zhiyan Consulting, in 2015, China’sMicroPortThe market size for surgical instruments stood at RMB 9.6 billion, while the market size for minimally invasive surgical instruments in China grew to RMB 18.5 billion in 2019. Since 2015, the compound annual growth rate (CAGR) of China’s minimally invasive surgical instrument market has been 14.02%, and it is projected to exceed RMB 50 billion by 2025.

Due to high technical barriers and patent blockades, overseas giants such as Johnson & Johnson and Medtronic have long held over 80% of the market share in this field. With trends such as the single-use nature of consumables and increasing penetration of minimally invasive surgical procedures, there is an urgent market demand for high-quality domestically produced products. Many innovative minimally invasive surgical instruments and consumables led by domestic enterprises are beginning to emerge. These new technologies and products have very promising development prospects, indicating significant growth potential in the market for minimally invasive surgical instruments and consumables.

During the 13th Five-Year Plan period, a series of industrial policies related to medical devices—such as the advancement of healthcare reform and national incentives for the use of domestically produced devices—were continuously implemented, ushering in a historic opportunity for development in the minimally invasive surgical instrument industry. Policy support for the clinical use of domestic products has given Chinese brands greater opportunities to achieve mass production compared to earlier years. Mass production has generated more feedback ranging from manufacturing processes to product performance, thereby further improving and enhancing product competitiveness, which in turn has stimulated consumption volume.

Meanwhile, guided by national policies and driven by the need for equipment upgrades in domestic medical and health institutions, the minimally invasive surgical instrument industry will enjoy a broad market.

With the widespread adoption of minimally invasive surgeries and the growing patient population, the market for minimally invasive surgical instruments is experiencing steady annual growth in line with surgical volumes. Furthermore, the potential for import substitution promises a highly promising market outlook.

The market for domestically produced minimally invasive surgical instruments offers substantial opportunities, with innovative devices and consumables being highly favored. Interm Medical will continue to deepen its focus on innovative solutions in minimally invasive surgery.

Jinruilin Asset, established in 2014, is a professional equity investment institution registered with the Asset Management Association of China. It primarily focuses on equity investments in high-growth companies within sectors such as semiconductors, 5G, new energy, cloud computing SaaS, and healthcare. The core team members boast an average of over ten years of experience in the financial industry, demonstrating exceptional capabilities in resource integration and capital operations. The firm provides comprehensive post-investment value-added services to its portfolio companies, including equity financing, operational management, resource integration, and financial services, thereby facilitating their rapid and healthy development.