Guangzhou DaJian Bio Completes RMB 100 Million Series A Financing Led by BGI Capital to Advance Cancer Early Detection via Methylation Diagnostics

Recently,Guangzhou Dajian Biotechnology Co., Ltd. Announces Completion of RMB 100 Million Series A Financing, this financing round marks the company's first since its establishment, led by BGI Win-Win, with participation from Hainan No.1 Investment, Luxin Venture Capital, Qudao Asset Management, and others.The funds will be used for the research and development, clinical trials, production, sales, and testing services of reagents for early cancer diagnosis.

Dajian Biotech is a high-tech biomedical enterprise specializing in precision medicine technologies, integrating the production, sales, and clinical application of in vitro diagnostic reagents.Dajian Bio focuses on early cancer diagnosis, leveraging platforms such as PCR, NGS, and FISH to develop in vitro non-invasive detection technologies based on exfoliated tissue cells for early tumor diagnosis. The company has completed product development and preclinical validation for colorectal cancer, nasopharyngeal carcinoma, bladder cancer, cervical cancer, liver cancer, esophageal cancer, and gastric cancer.

Anhui Dajian Medical Technology Co., Ltd., a subsidiary, is a high-level entrepreneurial team introduced by Anhui Province in 2015. Located in the CAS Wuhu Science and Technology Park within the Wuhu Economic and Technological Development Zone, it has a main building area of 4,301 square meters. The company features high-standard GMP-compliant manufacturing facilities and supporting testing workshops established in accordance with the standards of the National Medical Products Administration (NMPA). It has built a standard PCR laboratory that meets the requirements of the Clinical Laboratory Center of the National Health and Family Planning Commission (NHFPC) and has passed the qualification acceptance for PCR laboratories. Additionally, it is equipped with next-generation high-throughput gene sequencing (NGS) laboratories, pathology testing laboratories, and molecular biology laboratories.

(Photo courtesy of Dajian Biotech)

In January 2019, China released the "Analysis of the Prevalence of Malignant Tumors in China in 2015." The data showed that there were 3.929 million new cases of malignant tumors in China in 2015, with an average of 7.5 people diagnosed with cancer every minute; there were approximately 1.48 million cases among males and approximately 0.858 million cases among females. The incidence rate of malignant tumors gradually increased with age, reaching its peak in the 80-year-old age group. Meanwhile, as the number of malignant tumor cases continued to rise, the annual related medical expenses in China exceeded 220 billion yuan.

Lung cancer, liver cancer, digestive system tumors, colorectal cancer, and gynecological tumors are among the major malignant neoplasms in China, constituting one of the most significant public health challenges severely threatening the health of the Chinese population. These cancers account for 23.91% of all deaths among residents.

The persistently high incidence and mortality rates of cancer impose a substantial economic and social burden on the nation and its residents. As early as 1981, the Union for International Cancer Control (UICC) clearly stated that one-third of cancer cases could be cured through early diagnosis and treatment. However, in China today, fewer than 20% of cancer patients are diagnosed at an early stage, with the majority presenting at intermediate or advanced stages. This results in high treatment costs with limited efficacy, severely depleting the country’s limited healthcare and social resources.

Dajian Biotech upholds the corporate mission of “Benevolence for Society, Health through Wisdom”; with the goal of advancing the health industry and an unwavering commitment to technological innovation, it creates value for human health and well-being. The company has successfully developed a series of core products, including “Chang Anjian,” “Mi Anjian,” “Bi Anjian,” “Gan Anjian,” and “Gong Anjian,” contributing to the early diagnosis and treatment of cancer.

"Chang Anjian"Based on the detection of methylated exfoliated cells in feces, it is primarily used to assist in the diagnosis of colorectal cancer and precancerous lesions (polyps or tubular adenomas), enabling non-invasive diagnosis through the analysis of methylated exfoliated cells in stool. “Chang An Jian” employs a combined detection panel targeting the methylation status of four genes in fecal exfoliated cells. It achieves both sensitivity and specificity of approximately 90% for the diagnosis of colorectal cancer, and a sensitivity exceeding 60% for detecting precancerous colorectal lesions such as adenomas and polyps. This approach can replace traditional techniques for the non-invasive screening and diagnosis of colorectal cancer and colonic adenomatous polyps.

“Mi An Jian”, enabling non-invasive early diagnosis of urothelial carcinoma based on detection of specific gene methylation in urinary exfoliated cells. The “Mi An Jian” Human T Gene Methylation Detection Kit demonstrated a sensitivity of 89%, specificity of 93%, and concordance rate of 91% for bladder cancer diagnosis when compared with histopathological results from cystoscopic biopsy. Its sensitivity and specificity were significantly higher than those of cytological examination of urinary exfoliated cells and other detection technologies.

"Liver Health", enabling early detection, diagnosis, and treatment of liver cancer through non-invasive genetic diagnosis based on cell-free plasma DNA. “Gan An Jian” is based on a kit for detecting hypermethylation of three genes, achieving sensitivity, specificity, and concordance rates all exceeding 90% for liver cancer diagnosis, with a diagnostic sensitivity of over 80% for early-stage liver cancer. It provides diagnostic evidence for clinical diagnosis, post-treatment recurrence monitoring, and prognosis assessment, and can be used for screening and early diagnosis in healthy populations.

"Gong Anjian", enabling non-invasive diagnosis of cervical cancer and high-grade CIN lesions based on specific gene methylation in exfoliated cervical cells, thereby achieving early detection, early diagnosis, and early intervention. The human S1 gene methylation detection kit developed by Dajian Bio demonstrates a sensitivity of 97.92%, specificity of 96.2%, and concordance rate of 95.6% for cervical cancer diagnosis. It provides a diagnostic basis for early clinical diagnosis and can be used for screening and early detection in the healthy population.

““Nasal Health”, enabling non-invasive genetic testing for nasopharyngeal carcinoma based on cell-free plasma DNA to achieve early detection, early diagnosis, and early treatment. The ultra-sensitive EBV-DNA copy number detection kit developed by Dajian Biotechnology, based on quantitative fluorescent PCR technology, achieves both 90% sensitivity and specificity in the diagnosis of nasopharyngeal carcinoma, and can replace traditional techniques for non-invasive screening and diagnosis of this disease.

Liu Yu, Managing Partner at Huada Win-Win, stated, “China sees a high annual incidence and mortality rate of cancer, which has become a major public health issue. The clinical significance of early cancer screening and diagnosis is well-established, offering substantial economic benefits from the perspective of public health economics. Early auxiliary diagnostic technologies based on methylation analysis of exfoliated cells from stool, urine, swabs, and other samples are relatively mature. EXAS, the industry leader, reported approximately RMB 6 billion in revenue for its flagship product, Cologuard, in 2019, representing a year-on-year growth of about 80%. Since its launch, the product has been used to screen over 3.7 million individuals. The founding team of Dajian Medicine possesses extensive experience in developing cancer screening and early diagnostic technologies, strong capabilities in product translation, and robust clinical resources, giving it significant advantages in product development, clinical trials, and subsequent academic promotion. We are also highly optimistic about the company’s pipeline of more than ten upcoming products and believe that, with the collaborative efforts of its team, investors, and industry partners, the company will grow into a leading enterprise in its niche sector in China.”

About BGI Win-Win

As a venture capital firm with an industrial background rooted in BGI, BGI Win-Win advocates the professional investment philosophy of “R&D-driven investment.” It adheres to an investment approach that involves mapping industry landscapes and proactively allocating investments along the industrial chain. The firm professionally focuses on projects possessing core technologies or platform-based capabilities in fields such as gene technology, medical devices/high-value consumables, and biopharmaceuticals.The management team of BGI Win-Win has been deeply engaged in investment layout within the life and health sector for nearly a decade, investing in and incubating multiple leading enterprises in the life sciences, including BGI Genomics, Kangtai Biological Products, New Industries Biomedical Engineering, and MGI Tech. The fund primarily targets projects at the start-up and growth stages, achieving a rational allocation across investment stages.Leveraging resources from partners such as BGI Genomics, leading enterprises in the life sciences sector, and renowned domestic and international research institutions and scientists, BGI Win-Win provides industry development synergy to its portfolio companies. Additionally, it offers legal, financial, and human resources services to help these companies enhance their operational management capabilities, ensure stable long-term development, and achieve mutual benefits and win-win outcomes.

About Hainan First Investment

Hainan First Investment Holding Group Co., Ltd. (hereinafter referred to as “First Investment Group”) was founded in 1988. With a 32-year presence in Hainan, it is a modern enterprise group dedicated to the integration and development of the broader health industry. First Investment Group has invested in and constructed several premier medical platforms, including Hainan Cancer Hospital, Boao Super Hospital, St. Petersburg Traditional Chinese Medicine Hospital of Beijing University of Chinese Medicine, and the Hong Kong Asia-Pacific Oncology Center. Through its internet-based medical health service platform, “First Health Online,” the group has built an innovative industrial cluster for medical care and rehabilitation, establishing itself as the largest investment group in the broader health sector in Hainan. Leveraging its proprietary medical resources, the group is committed to developing large-scale senior living and wellness real estate projects in Hainan that integrate home-based elderly care, rehabilitation, and health preservation. Its high-end brand combining medical care with elderly support, “Yiyang Commune,” continues to expand its market influence. As of October 2019, the fund management institutions under the group had cumulatively managed funds totaling RMB 140 billion, while international (Free Trade Zone/Port) financial leasing operations were steadily advancing. Currently, the group’s multi-sector market entities are experiencing rapid growth, characterized by resource sharing across industries and a mutually reinforcing closed-loop development model. Guided by strategic thinking attuned to the pulse of the new era, First Investment Group is committed to contributing to the successful realization of the great “Chinese Dream” and the development of the Hainan Free Trade Zone (Free Trade Port).

About Luxin Venture Capital

Luxin Venture Capital is the largest and earliest-established professional venture capital firm in Shandong Province, holding significant influence nationwide. Controlled by Luxin Group, it serves as a co-chair unit of the Equity and Venture Capital Professional Committee of the Investment Association of China and as the secretariat unit of the Shandong Venture Capital Association. It is the first venture capital institution listed on China’s domestic capital market (Stock Code: 600783.SH). In recent years, the company has been honored with titles such as “Top 100 Venture Capital Firms over the Past 20 Years” and “China’s Annual Venture Capital Firm” by the Venture Capital Professional Committee of the Investment Association of China and other authoritative domestic professional organizations. In 2018, it was selected as one of the enterprises participating in the “Double Hundred Action” for state-owned enterprise reform initiated by the State-owned Assets Supervision and Administration Commission of the State Council, continuously enhancing its brand recognition and reputation. The company’s investment scope covers Shandong’s advantageous industries, including advanced manufacturing, modern agriculture, and the marine economy, as well as national strategic emerging industries such as information technology, energy conservation and environmental protection, new energy, new materials, biotechnology, and high-end equipment manufacturing. With twenty years of deep engagement in venture capital, the company has nurtured a portfolio of high-growth, technology-intensive startups that lead their respective industries. To date, it has invested in more than 250 projects, among which over 60 have been listed on main boards or quoted on the National Equities Exchange and Quotations (NEEQ).

About Qudao Asset

Guangzhou Qudao Asset Management Co., Ltd. (“Qudao Asset”) is a professional private equity investment fund focused on the healthcare industry. Its investors include numerous publicly listed healthcare companies, government guidance funds, and overseas investors, such as Da An Gene, Hengji Daxin, Boji Medicine, and South China New Drug. The fund’s industrial resources extensively cover areas including in vitro diagnostics (IVD), new drug R&D, and CRO/CMO services. Leveraging its team’s extensive industry experience and resource network, Qudao Asset provides portfolio companies with strategic resources and capital market support through industry chain integration, strategic M&A, and equity investments.