Dinova MedTech: Pioneering Cardiopulmonary Intervention, Incubating Venus MedTech, and Leading the Future with an Innovation-Driven 'In China, For Global' Model

“The healthcare industry is vital to national welfare and people’s livelihoods, and its innovation still has a long and arduous journey ahead,” said Mr. Zhao Yiwei, Chairman of Deno Medical, in an interview with the reporter.

“Taking the telecommunications industry and high-speed rail as examples, Huawei has not only captured a significant market share but also secured its current influence in the telecom sector by independently mastering core technologies such as 5G. Although China did not pioneer the design of high-speed rail, a decade of R&D and innovation has propelled the country to become a global leader in the industry. True localization is achieved only when technology is sufficiently advanced and quality can compete with European and American products.”

Currently, China’s healthcare industry has achieved some very preliminary successes, such as capturing an 80% market share for stents; however, it lacks core technologies and remains one of the few industries not yet recognized globally.

“Due to the high cost, most patients are unable to access innovative cardiovascular treatment technologies developed abroad. Therefore, I developed a strong resolve to localize these technologies in China, thereby reducing costs and prices through domestic production and making them accessible to more Chinese citizens,” said Zhao Yiwei. After studying in the United States and serving as an executive at Johnson & Johnson, a global medical giant, for many years, he joined a Chinese company—Lifetech Scientific—as CEO.

During this period, Zhao Yiwei oversaw LifeTech Scientific’s listing in Hong Kong and facilitated its strategic partnership with Medtronic. This experience made him realize that although domestic companies can reduce costs through localized production, they lack long-term competitive advantage in a technology-driven medical ecosystem if they do not possess core technologies.

“Medical innovation is synonymous with medical quality, as the entire innovation process involves a systematic in-depth study of diseases, racial/individual differences, indications, and patient benefits, thereby establishing a comprehensive knowledge system. Generics can only superficially mimic the external form of a product and completely lack the knowledge system essential for treating diseases. This is akin to a driver imitating the maneuvers of an experienced driver while entirely lacking the seasoned driver’s judgment of road conditions, ability to anticipate accidents, and risk control measures. With similar maneuvers, the imitator’s probability of causing an accident is far higher than that of the person being imitated.”

This is why medical innovation is synonymous with healthcare quality (efficacy and safety). The healthcare industry directly confronts matters of life and death, where quality is the sole factor safeguarding life and health. Unlike other consumer goods, where pricing can differentiate options for various consumers, life and health cannot be treated differentially; quality is the only criterion for judgment.

On the other hand, the true value of a product lies in its ability to better address diseases, a value derived from innovative design rather than manufacturing—embodied by the principle of “pay for design, not manufacturing.” Within the healthcare ecosystem, innovative solutions possess absolute substitutability over legacy products, leading to a winner-takes-all dynamic driven by technological innovation. Consequently, developed nations do not have production-driven generic medical devices. China is inevitably poised to rapidly embark on a path of medical innovation, which serves as the fundamental strategy for safeguarding national health and represents the future development trend for both enterprises and the industry.

Thus, Deno Medical, a professional enterprise specializing in investment, incubation, and operation within the innovative life sciences industry, was established in Hangzhou and set up R&D centers in China, the United States, and Israel. Committed to filling domestic gaps and introducing world-leading technologies, Deno identifies, invests in, and integrates innovative medical projects globally, paving the way for the industrialization of biomedical innovations and technologies.

“At Deno Medical’s incubation platform, innovators can devote themselves fully to innovation without worrying about funding, technology, legal, or other issues, thereby ensuring that professionals focus on their areas of expertise.” Deno Medical has established GMP-compliant cleanroom facilities, laboratories, and office spaces, with a total built area of nearly 20,000 square meters, supported by comprehensive infrastructure, production equipment, and testing instruments.

The incubator’s management team comprises senior executives from renowned multinational corporations, seasoned overseas engineers, and elite professionals from China’s healthcare industry. It possesses comprehensive core technologies and intellectual property rights in fields such as cardiovascular intervention and pulmonary diagnosis and treatment.

To date, Deno Medical has successfully incubated multiple innovative enterprises in the fields of structural heart disease and pulmonary interventional therapy. Among them, Venus Medtech is the leading enterprise in China’s minimally invasive cardiac valve treatment sector; Broncus Medical is a global leader in pulmonary diagnosis and treatment; and other companies, including Weiqiang Medical, Nuomao Medical, Dejin Medical, Deke Medical, Nuocheng Medical, and Nuosheng Medical, have also achieved remarkable success in their respective fields.

Some say that innovation is in Deno Medical’s DNA. Deno Medical is either innovating or on the path to discovering new innovations. The Deno team is a top-tier serial entrepreneurship team in China, having founded and managed landmark medical device companies such as Lifetech Scientific and Venus Medtech, and established strategic partnerships with medical giants like Medtronic and the da Vinci Surgical System. Zhao Yiwei stated, “Our core team members have been working together for nearly a decade, developing strong synergy and shared values. I believe this is one of our most valuable assets and a key component of Deno’s core competitiveness.”

“The healthcare industry is the most globalized sector; medicine knows no borders, and any superior solution to disease constitutes a benefit and asset for all humanity (e.g., penicillin). In contrast to so-called independent innovation conducted in isolation, Deno has gone global, integrating worldwide resources. From medical ideation and product development to clinical trials and industrialization, we leverage the world’s respective strengths, implementing global division of labor at each stage based on comparative advantages, thereby establishing an innovation chain led by Deno. Simply put, we utilize the strongest capabilities wherever they are found—this is the new ‘Innovation in China’ model. Currently, Deno’s R&D network capitalizes on Israel’s abundance of medical innovations, the United States’ vast pool of foundational algorithm experts, and China’s robust R&D and manufacturing capabilities. In the future, Deno may further establish R&D and manufacturing centers globally to jointly facilitate the translation of clinical innovations.”

Guided by a global mindset and vision, Deno Medical incubates cutting-edge technologies worldwide through investment and technology transfer. “Frontline clinicians best understand the products needed to address diseases. Deno Medical is collaborating with an increasing number of top-tier physicians globally to translate medical innovations through its innovative ecosystem and framework.”

Taking the NoYA™ Adjustable Interatrial Shunt System, incubated by Deno Medical, as an example, it is the fruit of collaboration where Israeli cardiologists provided the medical concept, the engineering team at Nuosheng Medical in Hangzhou conducted product design and R&D, and physicians from the United States, Germany, and China participated in clinical research. This powerful synergy has established NoYA™ as a milestone product in the treatment of heart failure in China. Numerous similar cases exist within Deno Medical. Through sustained global collaborative innovation, China’s medical innovations continue to advance on a fast track, steadily enhancing the international influence and scientific leadership of Chinese enterprises in the field of high-end medical devices.

Regarding future planning, Deno Medical has made considerations for both its technological roadmap and commercialization. In terms of technology, the field of structural heart disease is still in its early stages, offering significant room for future growth. Deno Medical aims to optimize its technologies and gradually establish them as the industry gold standard, a process that will take time. Throughout this journey, Deno Medical will develop new technologies, striving to secure a leading market position through its technological advantages.

“As a technology-driven enterprise, Deno Medical places greater emphasis on sector prospects and technological innovation. The number of patients with pulmonary diseases is no smaller than that of patients with cardiovascular diseases, making the treatment of pulmonary conditions a vast market. When evaluating other sectors, we adhere to two criteria: first, technological innovation—we favor technologies that are leading within China or even globally; second, significant market potential, such as in the field of circulatory system diseases.”

As for commercialization, Zhao Yiwei cited an example. The U.S. healthcare industry and its mechanism for translating medical innovations into engineering applications are highly mature. This well-established translation mechanism creates a win-win situation for both physicians and enterprises. In the United States, physicians’ ideas are nurtured through incubation to address global health challenges, thereby consolidating their professional standing and earning greater respect. Conversely, the U.S. industry leverages these physician-driven innovations to market products globally, evolving into multinational corporations and reaping corresponding profits. This constitutes a win-win outcome.

China also needs to forge its own path toward industrialization by establishing a sound mechanism for translating medical innovations into clinical applications. Deno Medical is actively working in this direction, aiming to incubate more physician-led innovations to create mutual benefits for all stakeholders and bring greater value to patients. Furthermore, as no domestic giant comparable to Johnson & Johnson has yet emerged in the Chinese market, Deno Medical has significant opportunities to advance industrialization and evolve into a comprehensive enterprise excelling in both R&D and commercialization.