XtalPi Secures $46 Million in Series B+ Funding to Accelerate AI-Driven Drug Discovery and Market Expansion

VCBeat (WeChat ID: vcbeat) has learned that XtalPi announced on October 24 (U.S. time) the completion of its $46 million (approximately RMB 320 million) Series B+ financing round. The round was led by China Life Health Industry Fund, with participation from SIG (Haina Asia) and Yayi Capital. The funds will be used to accelerate XtalPi’s business expansion and the development of its intelligent drug discovery platform, facilitating the application of its technology across a broader range of drug research and development areas.

XtalPi is a computation-driven innovative drug R&D company. Its ID4 (Intelligent Digital Drug Discovery and Development) platform integrates quantum physics, artificial intelligence, and cloud computing technologies to accurately predict various critical properties of small-molecule drugs, thereby enhancing the efficiency and success rate of preclinical drug development. Notably, XtalPi’s drug polymorph prediction technology has reached a world-leading level, significantly outperforming comparable methods in terms of system complexity, prediction accuracy, and computational speed. This technology has currently been adopted by numerous pharmaceutical companies worldwide and has gained extensive recognition from industry experts.

Building on its established successes and partnerships, XtalPi will prioritize the deployment of artificial intelligence algorithms across more critical stages of drug discovery and development following its latest round of financing. The company aims to introduce new AI algorithm applications to facilitate novel drug discovery within broader chemical spaces, predict key drug properties, and optimize late-stage drug development processes. Additionally, XtalPi will upgrade its existing cloud resource scheduling platform, which operates at a scale of millions of cores, to create a cloud-based R&D platform that leads the industry in computational power and security standards, thereby providing highly customized solutions for pharmaceutical clients.

Wen Shuhao, Co-founder and Chairman of XtalPi, stated, “XtalPi has gained strong recognition from innovative pharmaceutical companies in the drug industry. In the future, we plan to open our computational resource scheduling and underlying security platform to more drug R&D tool developers worldwide, connecting a broader range of AI-driven drug discovery tools for industrial application. By empowering global drug R&D institutions, we aim to enhance the efficiency of new drug discovery and pharmaceutical product development.”

Wan Yiqing, President of China Life Healthcare Fund, stated, “Whether a company possesses core technological capabilities has always been a key criterion in the investment decisions of China Life Healthcare Fund. As a leader in AI-driven pharmaceutical R&D, XtalPi holds significant growth potential with its unique crystal form design and intelligent drug discovery technologies, and is expected to play an increasingly important role in the field of pharmaceutical research and development.”

Liu Chong, Partner at Yayi Capital, stated, “XtalPi is the first company in the biotechnology sector to successfully implement quantum physics, artificial intelligence, and cloud computing in frontline R&D operations. Its core technologies hold the potential to drive revolutionary improvements in both efficiency and success rates within the drug discovery industry. We aim to support this highly forward-looking team in accelerating its growth, enabling the ID4 platform to contribute more significantly to the development of novel therapeutics and ultimately benefit a greater number of patients.”

XtalPi’s Series A financing was led by Tencent, with participation from ZhenFund and FreeS Fund. In January this year, the company closed its Series B round, led by Sequoia Capital China, with participation from Google and Tencent. In May of this year, XtalPi announced a strategic R&D collaboration with Pfizer’s U.S. R&D Center to develop an AI- and quantum physics-powered molecular simulation platform for Pfizer, aiming to enhance its drug design capabilities and efficiency. Its technology is gradually transforming research methodologies in drug discovery and screening, earning recognition and endorsement from Pfizer’s scientific team. To date, XtalPi has secured cumulative financing exceeding USD 66 million, making it one of the best-funded companies globally in the field of AI-driven drug R&D.