TYK Medicines Secures Nearly RMB 400 Million in Series B+ Financing to Advance Oncology Pipeline and Files IPO Prospectus

VCBeat has learned that Zhejiang TYK Medicines Co., Ltd. (“TYK Medicines”) recently announced the completion of its Series B+ financing round, raising nearly RMB 400 million. The round was led by Sealand Innovation Capital, with participation from Hangzhou Haibang Fenghua Investment Management Co., Ltd. and Zheshang Venture Capital. Existing investors Shanghai Wenzhou Capital Co., Ltd. and Changxing Financial Holdings continued to increase their investments. Haoyue Capital served as the exclusive financial advisor for the transaction once again.

The proceeds from this financing round will be used to advance the Phase II/III clinical trials of two Class 1.1 novel drug projects, support the investigational new drug (IND) applications and clinical trials for multiple internationally leading small-molecule innovative drug projects, and fund the construction of a GMP-compliant manufacturing facility for innovative drugs.

The company has assembled a team of senior drug R&D experts, represented by Dr. Wu Yusheng, with a primary focus on the development of innovative small-molecule oncology drugs. In less than six months, Haoyue Capital has assisted the company in completing two rounds of financing, raising a total of RMB 640 million. The strong support from renowned investment institutions and continued capital injections from existing shareholders demonstrate investors’ high recognition of the company’s highly executable team and its globally innovative drug development pipeline.

TYK Medicines, established in November 2017, is an innovative biopharmaceutical high-tech company based in China with a global outlook. It boasts world-class new drug R&D centers, including a 6,000-square-meter facility at the Changxing Life Science Park in Zhejiang, and has successively established new drug R&D centers in Zhengzhou and Shanghai. Additionally, the company has set up its Clinical Medicine Department and Business Development Department in Shanghai.

The company focuses on the research and development of Best-in-Class/First-in-Class small-molecule novel anti-tumor drugs and has established a highly efficient platform for small-molecule drug discovery. TYK medicines boasts a world-class R&D and management team, comprising one nationally distinguished expert, two provincially (Zhejiang) distinguished experts, and more than ten overseas-returnee PhDs. The team possesses extensive experience in new drug development at renowned multinational pharmaceutical companies and has guided over ten compounds into clinical stages. Additionally, the company employs ten clinical experts with experience in dozens of innovative drug clinical projects. Within less than 30 months since its establishment, the team has completed Investigational New Drug (IND) applications for two Class 1 novel drugs and initiated Phase I clinical trials. The company’s core product, TY9591, is benchmarked against Osimertinib. Preclinical studies and preliminary clinical results indicate that TY9591 offers superior clinical efficacy and safety, positioning it as a potential Best-in-Class innovative drug in its category. Furthermore, TY9591 is being developed for brain metastasis indications, aiming to address the current global lack of therapeutic options and potentially become a First-in-Class innovative treatment for EGFR-mutant lung cancer with brain metastases. In addition, IND applications for two novel-target drugs independently developed by the company will soon be submitted to partners in China and the United States, respectively, with expectations to enter clinical stages within the year.

Dr. Wu Yusheng

Dr. Wu Yusheng, Chairman and CEO of TYK Medicines, stated that the company is dedicated to the research and development of novel oncology drugs, positioning itself as a pharmaceutical enterprise with global innovation capabilities. He expressed great appreciation for the strong recognition received from various investment institutions, including Sealand Innovation Capital, as well as existing shareholders. The successful completion of this round of financing will facilitate the rapid advancement of the company’s multiple drug candidates in the pipeline. The TYK team is committed to delivering faster clinical progress and leveraging its globally competitive pipeline to reward the trust placed in it by both new and existing shareholders.

Mr. Jiang En, Executive Director and Head of the Healthcare Sector at Sealand Innovation Capital, stated that TYK Medicines is an innovative pharmaceutical company founded by a team with over 20 years of R&D experience in large multinational pharmaceutical corporations. The team possesses strong independent innovation and development capabilities as well as global resource integration abilities. The company’s product pipeline is strategically aligned with both the global competitive landscape and the Chinese market. Two major candidates have already entered clinical trials, while three globally innovative products are poised to enter clinical stages shortly. With a unique positioning and leading progress, the pipeline offers substantial growth potential. We remain bullish on TYK Medicines’ independent R&D and resource integration capabilities, and we look forward to the company accelerating its global pipeline expansion—primarily through independent R&D supplemented by strategic collaborations—to become a China-leading innovative pharmaceutical enterprise with a global footprint at an early stage.

Ms. Huang Li, Partner at Haibang Investment, stated that TYK Medicines focuses on the development of small-molecule drugs addressing unmet clinical needs. The company’s pipeline demonstrates a high degree of certainty, offers certain differentiated clinical advantages compared to benchmark drugs, and will further address issues of drug accessibility. Furthermore, the team has extensive experience in the field of drug development, laying a solid foundation for the research, development, and advancement of the company’s innovative pipeline. Overall, the pipeline portfolio is well-structured, and the out-licensing of products to listed companies serves as an affirmation of the team’s capabilities.

Mr. You Xiangdong, Managing Partner and Executive President of Zheshang Venture Capital, stated that lung cancer and breast cancer are the two most prevalent cancers globally. With the continuous increase in China’s aging population, the demand for targeted therapies for these two types of cancer will gradually be unleashed. TYK medicines currently has multiple pipelines focused on the research and development of targeted drugs for lung and breast cancers, all of which have entered clinical stages. The efficacy and safety of its products, as well as its R&D team, are trustworthy. It is foreseeable that with the market launch of its products and the release of demand, the company’s future IPO is promising, with immense potential. We remain firmly optimistic and look forward to growing alongside the company.

Mr. Bai Guomin, Chairman of Changxing Financial Holdings, stated that TYK medicines boasts unparalleled innovation capabilities in China. Since establishing its presence in Changxing in 2017, the company has experienced rapid growth and has now emerged as a leading domestic R&D enterprise for small-molecule oncology drugs, with its products receiving widespread acclaim from numerous experts. The establishment of its GMP formulation plant in Changxing will significantly further the development of TYK medicines.

Mr. Li Yishi, Partner at Haoyue Capital, stated, “We are honored to continue assisting TYK medicines in completing this round of financing. With years of deep expertise in the field of new drug R&D, Haoyue Capital is committed to serving the most outstanding drug development teams and the most globally innovative pharmaceutical companies in the industry. The market for targeted small-molecule anti-tumor drugs offers broad prospects, with significant unmet clinical needs both domestically and internationally. TYK medicines is dedicated to developing multiple Best-in-Class and First-in-Class innovative drugs, and upon approval and commercialization, its products are expected to provide more effective clinical solutions for numerous cancer patients in China and abroad.”

Sealand Innovation Capital Co., Ltd. (hereinafter referred to as “Sealand Innovation Capital”) was established in January 2012 as a private equity fund management subsidiary of a securities company, approved by the China Securities Regulatory Commission, with a registered capital of RMB 2 billion. As of the end of December 2020, its cumulative assets under management exceeded RMB 17.6 billion, ranking among the industry leaders in both assets under management and investment return rates. It was consecutively named one of China’s Top 10 Direct Investment Institutions of Securities Companies for two years and received numerous accolades, including being listed among ChinaZero2IPO’s “Top 10 Best Private Equity Fund Subsidiaries of Securities Companies in China,” “Top 50 Best Chinese Private Equity Investment Institutions,” and “Top 100 Best Private Equity Investment Institutions in China”; it was also recognized by Financing China as one of the “Top 10 Best Private Equity Subsidiaries of Securities Companies in China” and the “Top 100 Best Private Equity Investment Institutions in China.” Focusing on the two main themes of “technological innovation” and “healthy living,” Sealand Innovation Capital invests in leading companies across various niche sectors, having invested in dozens of high-quality enterprises and cultivated a portfolio of industry-leading brands.

Haibang Fenghua was initiated and established by Zhejiang Haibang Investment, a renowned equity investment institution in Zhejiang Province, together with its entire investment management team. The company primarily focuses on early- to mid-stage equity investments in fields such as life and health, the digital economy, and new materials. We adhere to the investment philosophy of “Technology + Talent,” firmly believing that technology changes the world, and are committed to supporting entrepreneurs with great ideals and an entrepreneurial spirit.

The Hangzhou Qizhen Future Innovation Fund was initiated under the personal advocacy of Academician Wu Zhaohui, President of Zhejiang University, and established by Zheshang Venture Capital. The fund primarily invests in early-stage projects, with a key focus on high-quality domestic alternatives to imported products, the discovery of next-generation innovative technologies, and strategic investments in specialized medical service terminals or platforms. Fifty percent of the fund’s returns will be donated to Zhejiang University to establish funds for the recruitment of innovative talent and for non-profit medical research.

Shanghai Wenzhou Capital is a professional investment firm dedicated to the biomedical and pharmaceutical sectors both in China and abroad. As a mixed-ownership professional healthcare investment institution with state-owned equity participation, its core team members possess extensive backgrounds in pharmaceutical research and industry, along with substantial investment experience, and have maintained a strong track record of investment performance. Adhering to the principles of value investing and long-term investment, Shanghai Wenzhou Capital is committed to comprehensively supporting the industrial upgrading and development of China’s biomedical and pharmaceutical sector.

Zhejiang Changxing Financial Holding Group Co., Ltd. is a wholly state-owned enterprise established by the Changxing County Committee of the Communist Party of China and the Changxing County People’s Government. The Group implements corporate-style management and market-oriented operations. Its core business involves the professional and market-driven operation and management of financial services, including fund investment, equity investment, financial leasing, factoring, and private equity management, thereby promoting the healthy and orderly development of strategic emerging industries within the region. Adhering to the corporate philosophy of “Integrity, Prudence, Pioneering, Innovation, Dedication, and Professionalism,” and leveraging a prudent investment style, rigorous management mechanisms, and a proactive work attitude, the Company is rooted in Changxing with a global vision, committed to becoming a premier state-owned benchmark enterprise in the region.

HAOYUE CAPITAL was founded in January 2014, with a commitment to serving as a bridge connecting China’s healthcare sector with capital. Its research and transaction coverage spans multiple sub-sectors, including biopharmaceuticals, innovative medical devices, in vitro diagnostics (IVD) and precision medicine, healthcare services, and smart healthcare. The HAOYUE CAPITAL team comprises seasoned investment bankers with extensive experience in China’s healthcare industry. By closely monitoring market dynamics and investment trends in the healthcare sector over the long term, the firm releases weekly healthcare investment updates and thematic research reports, offering HAOYUE’s perspectives on new policies and emerging frontiers.