GenOak Medicine Completes Over RMB 100 Million Series A Financing to Accelerate Dual-Focus Expansion in Solid and Hematologic Tumor Genomic Testing
On April 9, 2020, VCBeat (WeChat ID: vcbeat) learned that Beijing Xiangxin Biotechnology Co., Ltd. (also known as Jinxiang Medicine) announced the completion of its Series A financing round, raising over RMB 100 million. The round was led by Sino-Ocean Capital, with participation from Indaco Capital, Lingxian Capital, and others. The funds raised will be used for the research and development of tumor genetic testing products, commercial promotion, and regulatory filings, aiming to build a comprehensive medical service system for tumor biomarker screening, diagnosis, and treatment based on genomic big data.
Golden Oak Medicine was founded in 2018. Leveraging next-generation sequencing (NGS) technology and its independently developed big data analytics platform for genomics, the company provides clinical solutions for precision oncology centered on genomics. Golden Oak Medicine is one of the few enterprises in China that has achieved a leading position in both solid tumors and hematologic malignancies. It maintains a tumor genomic database comprising over 10,000 cases from the Chinese population, which includes China’s first genomic database for urologic cancers, a tumor mutation burden (TMB) database for specialized oncology subspecialties, and the largest genomic database for hematologic malignancies in the Chinese population. The company has filed more than 60 patents and software copyrights.
Golden Oak Medicine has successively launched more than 30 testing products, covering early diagnosis and screening for multiple cancer types, hereditary risk assessment, companion diagnostics for targeted and immunotherapies, tumor diagnostic subtyping, prognostic evaluation, and dynamic monitoring. Golden Oak Medicine has partnered with Huawei Cloud, MGI Tech, Twist Bioscience, Sentieon, and several oncology new drug R&D companies to jointly build a sustainable ecosystem platform for precision oncology.
In recent years, with the vigorous development of translational oncology, cancer treatment has entered the stage of clinical application of personalized precision diagnosis and therapy. On one hand, accelerated approval of new drugs has led to the successive market launch of novel anti-cancer agents, represented by immunotherapy and multi-target therapies. On the other hand, awareness and acceptance of tumor genetic testing among physicians and patients have significantly increased. Coupled with active policy encouragement and guidance from the government, robust demand for testing is expected to drive the domestic tumor genetic testing market in China to reach a scale of tens of billions, or even hundreds of billions, of yuan.
Cao Shanbai, Co-founder and Chairman of Jinxiang Medicine, stated, “We appreciate the recognition and trust placed in Jinxiang Medicine by the investors in this funding round. As a revolutionary in vitro diagnostic technology, the development and widespread adoption of tumor genetic testing is an inevitable trend. In disease areas with more mature research, such as lung cancer and colorectal cancer, the clinical application of Next-Generation Sequencing (NGS) has been at the forefront, and companies that entered this field early have established a certain competitive landscape. With the advancement of translational medicine, the concept of multidisciplinary tumor treatment continues to expand. For conditions such as hematologic malignancies, urologic tumors, and gastrointestinal tumors, merely referencing testing and data analysis from major cancer types like lung cancer is no longer sufficient. There is an urgent clinical need for more refined, specialized products tailored to subspecialties to support clinical decision-making.” To date, Jinxiang Medicine has accumulated tens of thousands of real-world testing cases in subspecialty fields including lung cancer, colorectal cancer, renal cell carcinoma, prostate cancer, bladder cancer, and leukemia, significantly enriching the subspecialty gene interpretation database for the Chinese population. In the future, Jinxiang Medicine will continue to focus on these segmented cancer areas, dedicating itself to clinical product design, medical interpretation services, and the collection and mining of real-world data.
In response, Wei Shihan, Managing Director of the Equity Investment Center at Sino-Ocean Capital, stated, “The accelerated penetration of precision medicine, the increasing clarity of national regulations, and the localization of upstream equipment will significantly promote the development of the molecular diagnostics industry. The industry itself will rapidly transition from a market cultivation phase to an era of compliant products and services. This investment comes amid a ‘capital winter,’ which presents both an opportunity for industry consolidation and a litmus test for companies. Enterprises that can achieve rapid counter-trend growth during this period are particularly worthy of attention. After conducting long-term tracking and research, we ultimately selected Jinxiang Medicine. Jinxiang Medicine has distinguished itself in the sector through its technological advantages, channel strengths, and data value in specific cancer types.”
The core team of Golden Oak Medicine comprises leading experts in their respective fields. Co-founder and Chairman Cao Shanbai holds a Ph.D. from the University of Hong Kong and brings extensive experience in clinical translation and operational management, complemented by strong professional judgment and business acumen. Chief Technology Officer Lou Feng earned his Ph.D. in Bioinformatics from Paris-Sud University (University of Paris XI) and is recognized as a pioneer in liquid biopsy technology in China. With eight years of experience in bioinformatics analysis, he possesses unique insights into product development and technological innovation. Vice President Duan Jiajia graduated with a medical degree from Capital Medical University and has over ten years of marketing experience in oncology at Fortune 500 companies, enabling her to lead teams in rapid market expansion. Vice President Chen Hong graduated from Peking University Health Science Center and combines eight years of clinical experience with nearly two decades of management experience at top-10 global pharmaceutical multinational corporations, specializing in strategic planning and talent development. Furthermore, more than 80% of the company’s technical professionals hold master’s or doctoral degrees, and 90% of its frontline sales representatives come from Fortune 500 pharmaceutical enterprises.
Wang Ye, Partner at Indaco Capital, explicitly expressed strong recognition of the Jinxiang Medical team. She stated, “The core management team at Jinxiang Medical has been immersed in the field of genetic testing for nearly a decade, possessing clear insights and understanding of the genomics industry, which endows the company with exceptional growth potential. As an emerging player in tumor genetic testing, the company’s outstanding technical capabilities, efficient supply chain integration, and mature management practices enable it to navigate industry competition and challenges, positioning it to become a core service provider in the tumor genetic testing sector.”
Liu Hua, a partner at Sino-German Fund, an angel investor in Jinxiang Medicine, added, “Jinxiang Medicine has achieved rapid performance growth while keeping costs under control. This is largely attributable to a team of seasoned industry professionals who rise to the occasion in critical moments, prove reliable in times of difficulty, and deliver victories in competitive battles. This is also one of the key reasons why the company has garnered favor from numerous investors amid the broader capital winter.”
Mr. Wu Jialu, Founder of Lingxian Health, affirmed this perspective: “We remain firmly optimistic about the long-term future of precision oncology, while also prioritizing tangible investment returns. As the industry has matured, profitability must be given serious consideration. Jinxiang Medicine has achieved rapid growth during the capital winter, demonstrating strong market expansion capabilities and cost control. This convinces us that the company is truly capable of delivering returns to investors. Therefore, we have selected Jinxiang Medicine as the flagship investment of the Lingxian Health Fund.”
Regarding the company’s future development, Cao Shanbai stated, “In fact, the tumor genetic testing market has entered its second half. To ensure the company becomes an industry leader, it is essential to enhance comprehensive capabilities across multiple dimensions, including the reserve of forward-looking technologies, the meticulous refinement of operational systems, continuous cost reduction under the premise of quality assurance, brand building, and market expansion. Moving forward, Jinxiang Medicine will continue to exert efforts in both liquid biopsy and solid tumor fields, accelerate the development of in vitro diagnostic kits, further expand collaborations with innovative oncology drug companies, and establish Jinxiang Medicine as a platform-based technology company integrating precision diagnosis and treatment for cancer.”
Founded in 2013, Sino-Ocean Capital is committed to becoming a leading alternative asset management firm. By the end of 2019, its assets under management (AUM) had reached nearly RMB 100 billion. With a deep focus on the broader healthcare sector, Sino-Ocean Capital’s healthcare and medical funds strategically invest in core areas such as health services, medical devices and consumables, healthcare informatics, and biotechnology. Through full-lifecycle asset management and industrial synergy, Sino-Ocean Capital helps partners achieve comprehensive growth, thereby delivering greater value to shareholders and society.
Indaco Capital, established in 2015, focuses on investing in early-stage and growth-stage enterprises in the healthcare sector. Centered on value-creating, empowerment-driven investment, Indaco Capital leverages its extensive industry resources, management expertise, and capital solutions to support portfolio companies at every stage of their development.
Linghang Health is a venture capital fund founded by seasoned medical investment professionals, dedicated to early-stage investments in the healthcare and medical industry. Adhering to the philosophy of “Focus and Professionalism,” we deeply explore development trends and investment opportunities within the sector, filtering out noise and distractions to pursue genuine investment returns.