Huadong Medicine Invests $30 Million in MediBeacon to Advance Kidney Function Monitoring Technology

On August 12, 2019, VCBeat (WeChat ID: vcbeat) learned that Huadong Medicine announced the acquisition of a stake in MediBeacon, a medical optical diagnostics company, for $30 million.

Upon completion of this acquisition, Huadong Medicine will acquire a total equity stake of 8.14%, as well as the intellectual property rights and commercialization rights for all MediBeacon products in 25 countries and regions across Asia. Furthermore, Huadong Medicine will introduce MediBeacon’s renal function monitoring products for acute and chronic kidney injury, and will undertake further development and sales of these products. Dr. Richard B. Dorshow, Chief Scientific Officer and Co-founder of MediBeacon, will serve as a Special Scientific Advisor to Huadong Medicine.

MediBeacon, established in 2012, is incorporated in Delaware, USA, with its principal place of business in St. Louis, Missouri, USA. Its largest shareholder is Pansend Life Sciences, a U.S. biotechnology company, which held a 41.49% stake prior to this acquisition. MediBeacon is dedicated to the research and development of medical optical diagnostic products, including fluorescent contrast agents and corresponding devices, applying them to healthcare fields such as renal function assessment, gastrointestinal function evaluation, and surgical visualization.

 
MediBeacon’s core products are the MB102 contrast agent and its corresponding device, which are primarily used in clinical settings for real-time monitoring of renal function in patients with acute kidney injury (AKI) and chronic kidney disease (CKD). The product was submitted to the U.S. FDA as a combination product and received FDA Breakthrough Device designation in 2018. The device is currently undergoing Phase II clinical trials, with Phase III trials expected to commence in early 2020, and market launch in the United States and Europe anticipated in 2021.

Huadong Medicine Co., Ltd. was established in 1993. The company is primarily engaged in the production and sales of antibiotics, traditional Chinese medicine (TCM) proprietary products, chemically synthesized drugs, and genetically engineered pharmaceuticals, as well as the wholesale and retail of Western and Chinese medicines, TCM raw materials, and medical devices. As a comprehensive listed pharmaceutical enterprise integrating R&D, manufacturing, distribution, retail, and pharmaceutical logistics, Huadong Medicine undertakes national, provincial, and municipal government mandates for special drug reserves.

Steve Hanley, CEO and Co-founder of MediBeacon, stated, “We are delighted to partner with Huadong Medicine in China. Huadong employs over 6,500 people, including experts in nephrology and other key medical fields. We believe that Huadong Medicine, a leading pharmaceutical company in China, will be the perfect partner to help us promote our products.”

A representative from Huadong Medicine stated, “Through this collaboration with MediBeacon, we are introducing its renal function monitoring products and will undertake technology development, clinical research, regulatory registration, manufacturing, and marketing within the licensed territories. This aligns with Huadong Medicine’s strategic imperative to transition toward globalization and scientific innovation, further enriching our innovative product portfolio and facilitating the gradual enhancement of the company’s global presence and R&D capabilities.”

(Compiled by Hu Yifan)