Genecast Completes Over RMB 1 Billion Series E Financing to Accelerate Innovation in Precision Oncology Diagnostics

Genecast, a Leading Enterprise in China’s Precision Oncology Diagnosis and Treatment Industry, Announces Successful Completion of Strategic Financing Exceeding RMB 1 Billion

Genecast Group Inc. (“Genecast”), a leading domestic provider of precision oncology diagnosis and treatment services, announced the completion of a strategic financing round exceeding RMB 1 billion. The round was led by China State-owned Enterprise Structural Adjustment Fund (the “State Adjustment Fund”), with participation from Taikang Asset Management, CCB Equity Investment, Hillhouse Ventures, Suzhou Zhongmengxin, and China Renaissance Capital, among other investors. Existing shareholders, including funds under CICC Capital and Matrix Partners China, continued to increase their investments. China Renaissance Capital served as the exclusive financial advisor for this financing round.

The proceeds from this round of financing will be used to further strengthen the R&D, innovation, and introduction of Genecast’s precision oncology diagnostic products, accelerate the regulatory registration and filing of its IVD products, and drive the deployment and expansion of Genecast’s market channels. This will enable faster clinical adoption of a broader and more diverse portfolio of precision oncology diagnostic products, ultimately benefiting a wide range of patients.

After six years of dedicated development, Genecast has adopted a dual-drive product strategy centered on “meeting diverse clinical needs,” combining robust in-house R&D with global introductions. By building a rich product pipeline, the company has established differentiated and leading services, securing a unique market position. At present, Genecast has developed a comprehensive, multi-dimensional auxiliary diagnostic system to enhance its product portfolio. Furthermore, by co-establishing joint laboratories with numerous hospitals, it has achieved deep integration of disciplinary talent advantages with industrial strengths. Meanwhile, Genecast collaborates with dozens of pharmaceutical companies both domestically and internationally to jointly build and refine an ecosystem that integrates diagnosis and treatment in the field of oncology.

Wei Ran, General Manager of Chengtong Fund and fund manager under the State-owned Capital Operation Company, stated, “The precision oncology diagnostics sector is a niche industry we have long monitored, boasting substantial market prospects and potential. After several years of intense market consolidation, Genecast has rapidly emerged as one of the leading enterprises by leveraging its insights into clinical needs and robust R&D capabilities. We are confident that, with the support of capital and additional industry resources, Genecast will reach new heights, bring greater benefits to more cancer patients in China, and grow into a great company.”

Ren Hao, Managing Director of the Equity Investment Center at Taikang Asset Management, stated, “As a long-term and stable value investor, Taikang Insurance Group has been committed to building a comprehensive health ecosystem for the era of longevity. In the age of precision medicine, we are optimistic about the pivotal role of precision diagnostics and the industry’s long-term growth potential. Genecast has assembled a comprehensive and well-balanced team of experts. Leveraging its multi-omics technology platform and focusing on clinical needs, the company provides diversified and truly valuable diagnostic services for cancer patients. We hope this financing will enable the Genecast team to further strengthen R&D efforts, expand into more precision diagnostic scenarios, and benefit a broader patient population.”

Xu Zhongchao, Managing Director of CICC Capital and Head of the CICC Yingrun Fund, stated, “The oncology precision diagnostics industry is no longer in an era of unbridled growth. It is essential to rethink and strengthen the industrial chain around leading enterprises like Genecast to realize value. As the lead investor in Genecast’s previous funding round, we are pleased to see Genecast gain recognition from other prestigious institutions. We remain optimistic about its development prospects and look forward to working with Genecast to reach new heights in this field and create greater long-term value.”

Yu Zhiyun, Managing Director at Matrix Partners China, stated, “Leveraging its advantages in technology, distribution channels, and team, Genecast has caught up from a late start and quickly risen to the first tier of precision oncology diagnosis and treatment. Centered on targeted cancer therapies, the company’s product portfolio is becoming increasingly deep and broad. After leading Genecast’s Series C financing round, Matrix Partners has continued to increase its investment in two subsequent rounds. We look forward to the company realizing its vision soon and benefiting a growing number of patients.”

Xie Yijing, Managing Director and Head of the Healthcare and Life Sciences Group at China Renaissance, stated, “We are honored to have assisted Genecast in completing this landmark private financing transaction. Genecast boasts the industry’s top-tier management team and R&D system. We believe this round of financing will further propel the company’s growth and bring significant benefits to cancer patients in China.”

Du Bo, Founder and CEO of Genecast, stated, “China’s oncology precision diagnostics industry is at a critical stage of rapid development. The swift advancement of the industry and technology entails increasingly high barriers in terms of technology, distribution channels, and capital. The Genecast team is delighted to have secured support from prominent investors, including the National Economic Structure Adjustment Fund, insurance capital, and numerous well-known professional investment institutions in the healthcare sector. We believe that, with the trust and support of both existing and new shareholders, Genecast will further strengthen its core capabilities, continuously optimize its industry layout, closely align with patients’ clinical needs, fully leverage its innovation capacity, expand overseas collaborations, and persistently develop and introduce clinically valuable diagnostic products, thereby better serving the Chinese market and benefiting patients.”

Genecast was established in Beijing in 2014, with its headquarters located in Wuxi, Jiangsu Province. The company operates facilities spanning over 7,000 square meters in Beijing, Taizhou, and other locations. These include a precision medicine testing laboratory that has obtained CAP accreditation from the United States and holds a Medical Institution Practicing License issued by the Wuxi Municipal Health Commission; a big data center for precise tumor diagnosis and treatment; and an in vitro diagnostic (IVD) reagent production base compliant with Good Manufacturing Practice (GMP) standards for medical devices. Genecast has established regional sales and service branches across 28 provinces in China, covering nearly 500 major Grade A tertiary hospitals nationwide, while also engaging in collaborative projects with more than 20 renowned pharmaceutical companies both domestically and internationally.

As a national high-tech enterprise holding the Technical Acceptance Certificate for Clinical Gene Amplification Testing Laboratories issued by the Government Clinical Laboratory Center, and officially licensed to conduct “tumor-related gene projects (using conventional ARMS and NGS methods),” Genecast leverages next-generation sequencing (NGS) technology and bioinformatics as its core competencies. The company is committed to providing the most professional precision tumor gene diagnostics and adjuvant treatment decision-support services to enterprises, physicians, and patients in the field of oncology diagnosis and treatment, striving to become their most trusted partner. By applying gene testing and real-world clinical data, Genecast connects pharmaceutical companies, physicians, and patients, ultimately realizing its vision of “dedicating to innovative technology, improving human health, and shaping the future of medicine.”

The National Structural Adjustment Fund (hereinafter referred to as the “National Adjustment Fund”) is a “national-level” equity investment fund established and managed under the leadership of China Chengtong Holdings Group Ltd., a state-owned capital operating company of central enterprises, which serves as the primary sponsor. The fund was approved by the State Council and operates under the entrustment of the State-owned Assets Supervision and Administration Commission (SASAC) of the State Council. With a total size of RMB 350 billion and an initial capital raise of RMB 131 billion, the fund undertakes major missions such as optimizing the layout and structural adjustment of the state-owned economy, enhancing industrial concentration, and improving the operational efficiency of state-owned capital. It primarily supports projects related to the optimization of industrial layouts, transformation and upgrading, specialized integration, and international operations of central enterprises and key state-owned backbone enterprises. As a market-oriented professional investment platform, it serves the national supply-side structural reform and promotes the transformation, upgrading, and structural adjustment of central enterprises and key state-owned backbone enterprises.

Taikang, founded in 1996, is one of China’s leading insurance and financial services groups, with business spanning three core sectors: insurance, asset management, and healthcare and eldercare. To date, Taikang’s assets under management exceed RMB 2 trillion. Healthcare is a key investment focus for Taikang, which has recently invested in multiple projects, including WuXi AppTec, Mindray Medical, and Innovent Biologics.

Hillhouse Ventures is the venture capital fund under Hillhouse Capital, focusing on early-stage innovative companies. It primarily invests in four key sectors: biopharmaceuticals and medical devices, software and hard technology, consumer internet and technology, and emerging consumer brands and services. Biopharmaceuticals and medical devices have long been a core investment focus for Hillhouse. Over the past decade, Hillhouse has invested in more than 160 outstanding pharmaceutical and medical device companies, including BeiGene, Innovent Biologics, Junshi Biosciences, I-Mab, Frontage Laboratories, Nanomicro Technology, Medcaptain Medical Technology, PINS Medical, PrimeCRO, Peijia Medical, MicroPort CardioFlow, Venus Medtech, Yisi Medical, Shenqi Medical, Biomime Medical, Antengene Corporation, Daming Group, Huamai Tech, MicroPort CRM, Demede Medical, Beikang Medical, Taimei Medical Technology, Clover Biopharmaceuticals, Danxu Biology, Keya Robotics, and Genor Biopharma. We aim to partner with enterprises as “friends of time,” jointly driving innovation and development in the healthcare sector to benefit more patients.

CICC Capital Management Ltd. (“CICC Capital”) is a wholly-owned private equity investment management subsidiary of China International Capital Corporation Limited (“CICC”). As CICC’s sole platform for private equity fund business, it centrally manages CICC’s domestic and overseas private equity fund activities, undertaking functions including formulating private equity investment development strategies, driving business growth, allocating resources, and managing risk control. As of the end of 2019, CICC Capital had total assets under management exceeding RMB 330 billion and employed a professional investment management team of approximately 300 people, making it one of China’s leading private equity fund management platforms.

Matrix Partners China, established in 2008, is an investment firm focused on emerging industries and stands as one of the most active early-stage VC institutions rooted in China. To date, it has invested in over 630 companies, adding 50–60 new portfolio companies annually. Matrix Partners China’s primary investment sectors include healthcare, new technology and advanced manufacturing, mass consumer goods, B2B/trading platforms, culture and entertainment/social networking, education, and fintech. Notable portfolio companies include Didi Chuxing, Yuanfudao, Chehaoduo Group, Momo Technology, Ele.me, Li Auto, XPeng Motors, Peijia Medical, iSpace, So-Young, Futu Holdings, LexinFintech, Liepin, Taimei Medical Technology, Drug Research Club, and Ronbay Technology.