3D Medicines Diagnostics Completes RMB 280 Million Series A Financing Post-Spin-off with CEC Capital as Exclusive Financial Advisor

3D Medicines, a leader in precision oncology diagnostics in China, recently completed RMB 280 million in financing for its diagnostics business unit. This round was led by China Resources Pharmaceutical Industry Investment Fund, with Luxin Venture Capital and Shandong Transportation Industry Development Fund serving as co-lead investors. Shanghai Zhangjiang Technology Venture Capital Co., Ltd., China Equities, Guangzhou Qudao Assets, Guangzhou Guofa Venture Capital, and other funds also participated in the investment. Notably, Luxin Venture Capital, China Equities, and Guangzhou Qudao Assets, as existing shareholders, made additional investments. This marks the first independent financing round for 3D Medicines’ diagnostics subsidiary since its spin-off.

China Merger Capital continues to serve as the exclusive financial advisor for the first round of financing of the diagnostics company spun off from 3D Medicines.

The successful financing round for 3D Medicines underscores the strong endorsement by China’s top-tier venture capital funds of the precision oncology sector, particularly for leading R&D-driven companies equipped with multi-technology platforms and dedicated to comprehensive management throughout the entire course of precision treatment for cancer patients. It also highlights iCapital’s prominent position in investment and financing within the biotechnology sector and the broader healthcare industry.

Founded in December 2010 and headquartered in Shanghai, 3D Medicines is a leading precision oncology company in China. In 2018, driven by rapid business growth and the strategic need to target different capital markets, the company completed the spin-off of its diagnostic and drug development businesses, with plans for each entity to list separately on distinct capital markets in the future. 3D Medicines Diagnostics continues to focus on precision oncology diagnostics, while 3D Medicines Pharmaceuticals is dedicated to oncology drug research and development.

This financing round marks the first since the spin-off of 3D Medicines Diagnostics. The funds will be primarily allocated to product research and development, including further pipeline development of its globally first-of-its-kind ANDiS closed automated NGS platform, development of early cancer diagnostic products based on its exosome platform, and expansion of its third-party testing service product portfolio.

After years of dedicated development, 3D Medicines Diagnostics has emerged as a leader in the field of precision oncology diagnostics in China. The company operates two major business lines: third-party medical laboratory services and IVD (in vitro diagnostic) products. It has established a comprehensive product R&D pipeline covering early cancer detection, companion diagnostics, and dynamic tumor monitoring.

In the field of early diagnosisThe company has been committed to developing products with a future retail price in the hundred-yuan range. 3D Medicines believes that only early diagnostic products priced at this level can identify potential high-risk cancer patients from the billions of routine outpatient visits in China each year, thereby narrowing down the population requiring definitive diagnosis to tens of millions annually. By integrating further comprehensive diagnostic methods, such as imaging and pathological confirmation, it becomes possible to diagnose the 4 million new cancer cases emerging in China each year at an early stage. Only in this way can true early diagnosis be widely promoted and popularized.

Guided by this philosophy, 3D Medicines has adopted a non-NGS testing approach, differing from some companies that use NGS for early cancer diagnosis. Over the past few years, it has established its own exosome biomarker development platform. This platform enables the development of early diagnostic products at the hundred-yuan price point, as planned by the company. The first early cancer diagnostic kit developed by the company—the Ovarian Cancer Early Diagnostic Kit—is the first exosome-based diagnostic product in China to enter registered clinical trials and one of the few such products globally to reach this stage. Its clinical performance surpasses that of similar products widely used in clinical practice by established foreign diagnostic companies, positioning it to potentially replace existing products and become the primary choice for early diagnosis of ovarian cancer. Following this financing round, the company will continue to actively expand the application of its exosome-based early diagnostic biomarker platform to other types of cancer.

In the Field of Companion Diagnostics3D Medicines estimates that, based on 4 million new cancer cases annually in China and an average of 3–4 recurrences per patient during the course of treatment, there are over 10 million annual demands for companion diagnostic-guided medication in the country. Only by popularizing precision medicine diagnostics across thousands of hospitals in China can these tens of millions of companion diagnostic needs be met promptly, ensuring no delay in any precise treatment. To achieve this goal, it is essential to automate complex companion diagnostic testing and enable intelligent analysis of the resulting data.

Guided by this philosophy and assessment, 3D Medicines pioneered the first fully automated data analysis system for companion diagnostics in China in 2018. Subsequently, in 2019, its ANDiS400, featuring fully automated closed-system gene library preparation, received marketing approval from the China National Medical Products Administration (NMPA), becoming the world’s first—and to date, China’s only—approved closed-system gene library preparation device.

The company has established a series of fully automated R&D pipelines for platform development, along with corresponding regulatory pathways for the development and registration of companion diagnostic automation products. The successive market launch of these products will assist hospitals across China in implementing precision diagnostics strategies, addressing the challenge that has hindered the large-scale in-hospital adoption of tumor NGS technology in China due to its excessive complexity.

In the Field of Dynamic Monitoring3D Medicines estimates that a tumor patient will require 5–10 rounds of dynamic monitoring to accurately and timely track recurrence, enabling prompt intervention. This approach facilitates subsequent companion diagnostic testing for recurrent disease-guided medication, with the ultimate goal of significantly extending the survival of patients with advanced-stage cancer. To achieve widespread adoption, such long-term dynamic monitoring requires products priced at approximately RMB 1,000. Leveraging its R&D foundation in exosome and molecular diagnostics platforms over the past few years, and combining the technological advantages of both platforms, the company plans to launch an innovative, affordable, precision dynamic monitoring product priced at the RMB 1,000 level for cancer patients in 2020.

3D Medicines Diagnostics has been deeply engaged for many years in the research and development of fully automated protein and other molecular diagnostic products within the field of precision oncology diagnostics. It has established China’s only interdisciplinary R&D team integrating equipment engineering, electrical engineering, life sciences, materials science, and data analytics, laying a solid foundation for achieving its mission and vision of “making precision medicine accessible to patients worldwide, anytime and anywhere.”

Dr. Xiong Lei, Founder of 3D Medicines and Chairman & CEO of 3D Diagnostics, stated: “Precision oncology diagnostics is witnessing an explosion of next-generation technologies, including exosomes, protein mass spectrometry, and NGS. These advancements, combined with AI-driven analysis of precision pathology and imaging, are forming ultimate diagnostic solutions. Over the next decade, as technologies mature and improve, we will see breakthroughs in companion diagnostics, dynamic monitoring, and early diagnosis, with innovative products becoming available at price points ranging from thousands to hundreds of yuan. Our technology platform will also expand beyond standalone NGS to integrate mass spectrometry, chemiluminescence, and other molecular diagnostic techniques. This means that the performance and affordability of precision oncology diagnostic products will become increasingly accessible to patients, ultimately transforming the treatment journey for every individual. We welcome continued support from investors for 3D Medicines and the development of the precision oncology diagnostics sector. 3D Diagnostics remains committed to its mission and vision, driving the global implementation of precision oncology care to benefit every patient.”

Dr. Gong Zhaolong, Co-founder of 3D Medicines and Chairman and CEO of 3D Medicines Inc., stated: “Warm congratulations to the diagnostics company on its successful financing! The spin-off and independent operation of 3D Diagnostics and the drug development business will better accommodate the needs of different investors and capital markets, facilitating the rapid and healthy growth of both companies and delivering superior returns to investors. 3D Medicines will focus on the development of globally leading next-generation oncology immunotherapy products, bringing safe, effective, and convenient differentiated therapies to cancer patients in China and worldwide, thereby improving their quality of life during long-term survival. Currently, both the business operations and financing efforts of 3D Medicines are progressing smoothly; the first $40 million in financing post-spin-off has been secured, and the first New Drug Application (NDA) is planned for submission in 2020.”

Tang Yanfa, CEO of China Resources Pharmaceutical Industry Investment Fund, stated, “As the market for targeted therapies and immunotherapies in oncology continues to expand, the market for precision cancer diagnostics is growing accordingly. From 2015 to 2018, the companion diagnostics industry based on next-generation sequencing (NGS) technology rapidly grew from scratch to a market size exceeding RMB 2.5 billion. In the future, early diagnosis and dynamic monitoring are poised to flourish with the application of new technologies, making the precision cancer diagnostics market one of the hotspots for capital investment. As a leading enterprise in this niche sector, 3D Medicines has launched the world’s first automated, closed NGS companion diagnostics platform, transforming the existing operational model of NGS-based companion diagnostics. We are not only optimistic about the development prospects of this automated diagnostics platform but also highly regard 3D Medicines’ multi-technology platform layout across three key areas of precision cancer diagnostics. Meanwhile, we will actively leverage China Resources Group’s industrial resources in the healthcare and pharmaceutical sectors to support the growth of 3D Medicines.”

Yu Hongliang, General Manager of Shanghai Zhangjiang Technology Venture Capital Co., Ltd., stated, “The laboratory of 3D Medicines’ third-party clinical testing center is located within the International Medical Park in Zhangjiang. Zhangjiang Tech VC’s participation in this investment round reflects our confidence in the future growth potential of personalized oncology diagnostics—a niche sector—and acknowledges 3D Medicines’ achievements as an industry leader in this field. It also aligns with our commitment to ‘supporting growth and facilitating development’ for enterprises in the park. Moving forward, we will continue to facilitate access to resources and policy support for 3D Medicines, and we look forward to hearing more good news about the company’s future development.”

Irene Hong, Founding Partner of China Renaissance, stated, “With the advancement of modern medicine and diagnostic technologies, oncology treatment has gradually entered the era of ‘precision medicine.’ In China, as various innovative drugs continue to be included in the national medical insurance coverage, a key focus in the healthcare sector is how to effectively implement companion diagnostic products and services to better guide medication use for patients and benefit a broader patient population. China Renaissance is optimistic about 3D Medicines’ strategic layout in the field of NGS automation, as well as its innovative product pipeline covering three sub-segments of precision diagnostics. We are honored to have assisted 3D Medicines in completing this round of financing.”

3D Medicines Diagnostics was originally the precision diagnostics business unit of 3D Medicines Precision Medicine and was spun off from 3D Medicines as an independent entity in 2018.

3D Medicines is a leading company in China’s field of precision oncology diagnostics and one of the earliest providers of precision oncology testing services in the country. Through years of dedicated research and development, 3D Medicines has established the industry’s only integrated R&D platform that combines equipment engineering, electrical engineering, life sciences, materials science, and data analytics, enabling fully automated operating systems for R&D and manufacturing in this sector. The company possesses the world’s first closed, fully automated NGS library preparation platform and a globally leading platform for developing early cancer diagnostic biomarkers (exosomes). Multiple auxiliary diagnostic and companion diagnostic products, many of which are first-of-their-kind in China and based on these platforms, are currently in clinical trials or poised to enter clinical trials. The company also operates several third-party clinical laboratories, holding authoritative CAP/CLIA accreditations and designated as a National Demonstration Center for Genetic Testing Technology Applications. Its precision diagnostics marketing network covers more than 70% of core Grade A tertiary hospitals, serving over 800 medical institutions, and provides comprehensive precision medicine products and services spanning early cancer diagnosis, targeted therapy, immunotherapy, and post-operative dynamic monitoring.

China Renaissance was founded in 2000 and 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.

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

In the healthcare industry, China Renaissance boasts the largest, most specialized, and most comprehensively integrated investment banking team in the sector, along with a firmly established position of strong market leadership. For three consecutive years, it has ranked as the new-economy investment bank with the highest number of healthcare industry transaction records in China.