Becan Medical Raises RMB 150 Million Series C Funding Led by Bohua Capital, Advances NGS Solutions in Reproductive Health

VCBeat (WeChat ID: vcbeat) has learned that Suzhou Beikang Medical Instrument Co., Ltd. (“Beikang Medical”), a leading enterprise in the reproductive health segment of the NGS market, has recently completed its C-round financing of RMB 150 million. This round was led by Bohua Capital, with participation from Ming Bioventures and Yingtan Jinhu.

Public information indicates that Beikang Medical focuses on the field of assisted reproduction, serving as a leading enterprise in the fertility health niche. The company operates four independent clinical laboratories across China, has established 31 joint laboratories with large medical institutions in multiple provinces and municipalities, engages in business collaborations with over 200 domestic medical institutions, and conducts global business partnerships with overseas organizations in Italy, Canada, Southeast Asia, and other regions.

Beikang Medical’s independently developed PGS kit was publicly announced by the Center for Medical Device Technical Evaluation of the CFDA in May 2016, becoming the first domestically produced"Special Approval for Innovative Medical Devices"third-generation IVF testing products, and the test kit also obtained the industry’s first medical device registration certificate this year(NMPA Registration No.: 20203400181)The product’s approval has filled a technological gap in the clinical application of third-generation IVF in China, marking the official entry of PGS testing for third-generation IVF into an era of certified products, and simultaneously solidifying Beikang Medical’s dominant position in this niche sector. Clinical trial data released by the company show that the PGS product can increase the average pregnancy rate of IVF to 72% and reduce the average miscarriage rate to 6.9%. Currently, among the more than 500 medical institutions in China approved to provide human assisted reproductive technology services, nearly 80 are qualified to perform third-generation IVF procedures.

The PGS product registration certificate is the second genetic testing registration certificate in the field of reproductive health, following NIPT. In 2020, there were approximately 13.47 million pregnant women in China. Based on a unit price of RMB 2,000 per test, the annual market size for NIPT in China is estimated at RMB 27 billion. Meanwhile, China performs approximately 800,000 IVF cycles annually. Estimating 10 embryos pending testing per cycle, the annual volume of third-generation IVF testing reaches 8 million embryos. At a unit price of RMB 3,000 per embryo, the market size amounts to RMB 24 billion. Currently, while the penetration rate of third-generation IVF in the United States stands at 70%, it is only 5% in China, indicating substantial growth potential for the third-generation IVF testing market in the future.

Publicly listed companies in the fertility sector, such as BGI Genomics and Berry Genomics, successfully leveraged the benefits of the NIPT industry to enter a phase of rapid growth in their early stages. After its IPO, BGI Genomics reached a valuation of RMB 100 billion, while Berry Genomics attained a valuation of RMB 10 billion following its back-door listing. Furthermore, Jinxin Fertility Group, listed in Hong Kong as the “first stock in assisted reproductive technology (ART),” has seen robust development in its ART business since the completion of its global offering, achieving a total market capitalization of approximately RMB 24 billion and thereby lifting the veil on this once-enigmatic sector. Beikang Medical is poised to become one of the most promising candidates for an IPO in the secondary market’s genetic testing segment.