ZhiMeng Pharma Secures RMB 230 Million Series A Financing to Advance Clinical Development of Novel HBV Therapeutics

On November 6, 2020, Shanghai Zhimeng Biopharma Inc. announced the successful completion of its RMB 230 million Series A financing round. The funds raised will be primarily used for the Phase Ib clinical trials of ZM-H1505R, a hepatitis B virus core inhibitor with a globally exclusive chemical structure, as well as for clinical trial applications related to the company’s other pipeline candidates. This round of investment was led bySany Innovation led the investment, with SDIC Chuanghe, Haisong Medical Fund, Zhongnan Venture Capital Fund, Guangliang Capital, and previous investors SCGC and Zeyue Capital participating in the follow-on investment.。

Shanghai Zhimeng Biopharma Inc., founded in 2017, is a clinical-stage biopharmaceutical company dedicated to the discovery and development of novel therapeutics for antiviral and central nervous system (CNS) diseases. Dr. Huanming Chen, Founder and CEO of the company, expressed appreciation for the trust placed in the company by investors in this new funding round, and extended sincere gratitude to previous investment partners for their strong support in advancing project development and team building. With this round of financing, Zhimeng Biopharma will accelerate the Phase Ib and subsequent clinical studies of ZM-H1505R, a hepatitis B virus (HBV) core protein inhibitor, striving to develop a safe, effective therapy with the potential to achieve functional cure for HBV patients as soon as possible. Meanwhile, the company plans to complete clinical trial applications for one epilepsy treatment drug and another anti-HBV drug by the end of 2021.

Shanghai Zhimeng Biopharma Inc., founded in 2017, is an emerging biopharmaceutical company currently in the clinical development stage, specializing in the original research and development of novel drugs for antiviral therapies and central nervous system (CNS) disorders. The company’s founder and CEO, Dr. Huanming Chen, is a senior expert in new drug design and medicinal chemistry, having previously served as an R&D executive at several renowned multinational pharmaceutical and biotechnology companies. Dr. Zhijun Zhang, Co-founder and Chief Scientific Officer, is an expert in viral biology and formerly served as an Associate Professor at the University of Oklahoma College of Medicine. He later joined the multinational pharmaceutical company Sanofi, where he was responsible for leading antiviral drug R&D across the Asia-Pacific region. The core members of Zhimeng Biopharma’s R&D team each possess over ten years of experience in research, development, and management gained through overseas study, work at multinational pharmaceutical companies, large contract research organizations (CROs), or innovative biotechnology firms, bringing extensive expertise in drug development, project management, and operations.

Zhimeng Biopharma’s core asset, ZM-H1505R, is a novel hepatitis B virus (HBV) capsid inhibitor currently undergoing Phase I clinical trials. Preliminary clinical data have demonstrated that ZM-H1505R exhibits an excellent safety profile and favorable pharmacokinetic properties. Additionally, several of Zhimeng Biopharma’s internally developed programs are in the preclinical stage preparing for Investigational New Drug (IND) applications, including an immunomodulator for hepatitis B treatment, a potassium channel opener for epilepsy, pain, and depression, and a stroke therapy program. These candidates are expected to enter clinical studies next year.

Zhimeng Biopharma Product Portfolio (from the company's official website)

Sany Innovation (Beijing) Investment Management Co., Ltd. is a fund management company specializing in pharmaceutical innovation investment. It currently manages two equity investment funds with distinct strategic positioning, whose limited partners include renowned enterprises in the pharmaceutical industry and leading financial investment institutions. Adhering to the core philosophy of “integrating scientists, professional managers, and investors into a unified entity, and letting professionals handle their respective areas of expertise,” the company leverages capital linkages to consolidate resources. It supports scientists in translating scientific achievements, assists professional managers in building entrepreneurial platforms, fosters world-leading innovative biopharmaceutical companies, facilitates the emergence of original Chinese drugs with high clinical value, and ultimately enables science to serve health and benefit patients.

SDIC Chuanghe is a professional fund-of-funds and industrial fund management institution under the SDIC Group, with directly managed assets exceeding RMB 35 billion. It focuses on equity investment, venture capital, and fund investments in strategic emerging industries. Currently, SDIC Chuanghe manages over 70 direct investment projects and holds stakes in more than 160 funds, having nurtured over 2,000 innovative technology enterprises. It has become the leading fund-of-funds manager in China, supporting the largest number of venture capital teams and covering the widest range of industries. In 2015, the State Council’s executive meeting decided to establish the National Emerging Industries Venture Capital Guidance Fund to support entrepreneurship, innovation, and industrial upgrading. In 2016, SDIC Chuanghe became one of the management institutions for the National Emerging Industries Venture Capital Guidance Fund. Under the guidance of the National Development and Reform Commission, SDIC Chuanghe also took the lead in establishing national venture capital service alliances for innovative biopharmaceuticals, artificial intelligence, new materials, and other sectors, continuously improving the investment ecosystem, pooling the collective strength of mass entrepreneurship and innovation, and promoting the development of emerging industries.

Haisong Capital and the Haisong Medical Fund focus on equity investments in the biopharmaceutical and intelligent manufacturing sectors, with an emphasis on innovative technologies, independent R&D capabilities, and market development potential. By fully leveraging national policies that encourage and support such initiatives, and by collaborating closely with industry partners, we adopt a long-term perspective on enterprise development to connect portfolio companies with essential resources. This approach assists their rapid growth, promotes the industrialization of technology, and establishes a full-lifecycle investment model covering early-stage to late-stage projects. Key investment areas include biopharmaceuticals, medical devices, and intelligent manufacturing. Portfolio companies include Edigene, Huadao Biology, Accutar Biotechnology, WeLi Bio, ConquerMed, Sinovant (Xinnuowei), and XtalPi.

Zhongnan Venture Capital Fund was established in 2008, primarily investing in the healthcare, semiconductor, and artificial intelligence sectors. It has launched and managed 12 RMB and USD private equity funds, with assets under management exceeding RMB 4 billion. Our mission is to empower technology with capital and benefit humanity through technology. We adhere to the values of discovering, creating, and sharing value, as well as fostering mutual growth. We are committed to undertaking challenging yet valuable endeavors, employing a strategy of selective and concentrated investments. In the healthcare sector, Zhongnan Venture Capital Fund has invested in outstanding domestic and international enterprises such as Apollomics, Biomatics, Allgens Pharma, Tridem Bio, GenFleet Therapeutics, Cellera Pharma, Drug Farm, Yili Pharmaceuticals, and CARsgen Therapeutics.

Guangliang Capital is a venture capital firm specializing in technology and innovation, with roots in Shenzhen, Beijing, and Silicon Valley—three of the world’s most innovative hubs—conducting global equity investments. The company’s core team possesses extensive industry and investment experience in life sciences, TMT (Technology, Media, and Telecommunications), and semiconductor chips. Guangliang Capital has long maintained close collaborations with top-tier global universities, including the University of California, Berkeley, Stanford University, Harvard University, and the Massachusetts Institute of Technology (MIT), and is the sole Chinese shareholder in the Berkeley SkyDeck Fund. In tech investment, the firm consistently upholds a global perspective and forward-looking vision. In the life sciences and healthcare sectors, Guangliang Capital has invested in multiple globally competitive high-tech enterprises, such as CARsgen Therapeutics (cell therapy), Applaud (co-founded by Robert H. Grubbs, the 2005 Nobel Laureate in Chemistry), CASPR (CRISPR technology), and Cardea (graphene biosensors).

Shenzhen Capital Group (SCG, Shenzhen Capital Group Co., Ltd.) was established in 1999 with capital contributed by the Shenzhen Municipal Government, which also guided social capital investment. With the mission of discovering and empowering great enterprises, SCG has grown into a comprehensive investment group centered on venture capital. It currently has a registered capital of RMB 5.42 billion and manages total assets of approximately RMB 399.4 billion. As of the end of September 2020, SCG ranked first in China’s venture capital industry in both the number of portfolio companies and the number of listed investee companies: it had invested in 1,157 projects, with cumulative investments totaling approximately RMB 54.6 billion, among which 174 portfolio companies have been listed on 16 major capital markets worldwide.

Zeyue Capital is an investment firm focused on the healthcare sector, co-founded by CEOs of multinational pharmaceutical companies and successful entrepreneur-scientists from Silicon Valley. Leveraging their profound insights into China’s healthcare landscape and medical reform trends, the founders integrate industrial resources across R&D, manufacturing, and marketing to identify startups with a “China angle” and sustainable growth potential on a global scale. Their investment decisions are grounded in the creation of long-term value. Currently, Zeyue’s portfolio encompasses high-quality projects in biopharmaceuticals, medical devices, and healthcare services.