GenFleet Therapeutics Secures Nearly RMB 400 Million Series B Financing Led by CDH Investments and Shenzhen Capital Group to Advance 'First-in-Class' Drug Pipeline

VCBeat (WeChat: vcbeat) has learned that GenFleet Therapeutics recently announced the completion of its Series B financing round, raising nearly RMB 400 million. The round was co-led by CDH Investments and Shenzhen Capital Group’s Healthcare Industry Fund, with participation from Zhongnan Venture Capital, Panlin Capital, and others. Existing investors Sinopharm Capital, ClearPool Capital, and Honghui Capital also increased their investments. The proceeds will primarily be used to advance GenFleet’s existing clinical pipeline (including overseas regulatory filings and clinical trials), expand its immunology platform, initiate new projects, and build industrialization facilities.

GenFleet Therapeutics (Shanghai) Inc. is a startup dedicated to the development of "global first-in-class" drugs. Centered on the biological mechanisms of oncology and immunology as well as clinical translation, the company focuses on multiple therapeutic areas, including oncology and autoimmune diseases. Its independently developed novel drug candidates are all original products at the international forefront that have not yet undergone clinical validation, offering significant technical advantages and substantial market potential. The company’s first self-developed project was approved by Chinese regulatory authorities for clinical trials in less than two years, and its subsequent product pipeline is progressing and expanding smoothly. It is expected that more projects will submit clinical trial applications both domestically and internationally this year.

Dr. Lü Qiang, Chairman of GenFleet Therapeutics, stated, “First and foremost, we extend our sincere gratitude to CDH Investments and Shenzhen Capital Group for their strong endorsement, as well as to all shareholders for their continued attention and support. Thanks to the concerted efforts of our team, the Investigational New Drug (IND) application for GFH018 submitted to the Center for Drug Evaluation (CDE) last year was approved with no deficiencies across all review stages. Following approval, Professor Li Jin, former President of the Chinese Society of Clinical Oncology (CSCO), is serving as the Principal Investigator (PI) for the Phase I clinical trial, which has been initiated at Shanghai East Hospital. The trial is currently progressing as expected. This round of financing has attracted seasoned financial and strategic industry investors. We are confident that GenFleet will achieve breakthrough progress in more projects. While advancing internationalization and expanding our platform capabilities, we have also commenced construction of our pilot-scale and industrialization base in Shaoxing, Zhejiang Province.”

Wang Lin, Founding Partner of CDH Investments, stated, “GenFleet Therapeutics has adopted a strategy of rapidly following international cutting-edge innovative targets. Leveraging the team’s profound understanding in oncology and immunology, as well as their extensive experience in molecular design and clinical pharmacology, the company has developed a highly promising product pipeline. CDH is delighted to serve as one of the lead investors in this round, joining hands with other shareholders to support the company’s development in the field of cancer treatment. We look forward to the future success of GenFleet’s products, which will benefit more patients with cancer and autoimmune diseases, thereby creating greater social value. Meanwhile, we are also pleased to initiate further collaborations with Honghui Capital, founded by our former colleagues.”

Dr. Zhou Yi, Partner at Shenzhen Capital Group’s Health Fund, stated: “GenFleet Therapeutics focuses on cutting-edge international innovative targets and has established an efficient, globalized innovation development system. With a profound understanding of the biological mechanisms underlying tumor immunotherapy, a rich product pipeline, and rapid progress in registrational clinical trials, this financing will accelerate GenFleet’s transformation into a highly competitive biotech company on the global stage.”

Wang Hui, Founder of Honghui Capital and the lead angel investor as well as a Series A investor in GenFleet Therapeutics, stated, “Since the inception of GenFleet Therapeutics, we have had strong confidence in the teams led by Lü Bo and Lan Bo. We are delighted to support the continued development of GenFleet’s team, a healthcare enterprise with independent innovation capabilities. As a venture capital firm, we are also committed to supporting more startups that remain true to their original aspirations, thereby contributing to the health of the Chinese population. We welcome CDH Investments and Shenzhen Capital Group to co-lead this round of investment in GenFleet Therapeutics, and it is an honor to collaborate once again with CDH Investments, where I previously served. My tenure at CDH Investments was immensely rewarding.”

In addition, Zeyue Capital, BOCOM International, Puhui Guoxin, and Nuosi Medical also participated in this round of financing.

This round of financing was exclusively advised by Capital One as the sole financial advisor.

CDH Investments is one of China’s largest alternative asset management firms, with assets under management (AUM) reaching RMB 140 billion as of December 31, 2019. CDH Investments operates six business segments: private equity, innovation and growth, securities investment, mezzanine capital, real estate investment, and wealth management. The firm has invested in more than 200 companies, over 70 of which are listed on domestic and international stock exchanges. It has nurtured a portfolio of industry-leading brands, including Shuanghui (WH Group), Mengniu Dairy, Midea Group, Greenland Holdings, Belle International, Grand Pharma, New China Life Insurance, Chenguang Stationery, and Deppon Logistics.

CDH Investments is committed to becoming a long-term partner for global investors in uncovering the best investment opportunities, a partner for portfolio companies in creating long-term value, and an accelerator for China’s industrial transformation and the improvement of people’s quality of life.

Shenzhen Capital Group Co., Ltd.Founded in 1999, the company is committed to its mission of discovering and empowering great enterprises, striving to be a discoverer and cultivator of innovative value. It has developed into a comprehensive investment group with venture capital at its core. The company currently has a registered capital of RMB 5.42 billion and manages total assets of approximately RMB 347.174 billion. As of the end of December 2019, Shenzhen Capital Group ranked first in China’s venture capital industry in terms of both the number of companies invested in and the number of portfolio companies listed on stock exchanges.

Shenzhen Hongtu Medical Health Industry Equity Investment Fund, established in 2018, is the first medical and health industry fund launched by Shenzhen Capital Group Co., Ltd. (SCGC) as part of its “specialization” strategy. The fund focuses on identifying high-quality targets with strong innovation capabilities and significant growth potential to drive industrial development. Within less than two years, the fund has invested in more than ten outstanding enterprises, including Akeso, YHLO Biotech, Medcaptain, Leadcom, and MabPlex.

Founded in 2000, China Renaissance is a leading new-economy investment bank in China, focusing on the three major sectors of healthcare, consumer, and TMT. Headquartered in Beijing, the firm has branch offices in Shanghai, Los Angeles, and San Francisco, and holds a U.S. securities business license.

Between 2017 and 2019, China Renaissance participated in financing and M&A transactions with a total value exceeding RMB 100 billion. Beyond its investment banking services, China Renaissance entered the asset management business in 2014 and is currently managing one RMB-denominated fund and one USD-denominated fund.