Junhetang Completes RMB 100 Million Series C Financing Led by Zhongwei Fund with Honghui Capital Participating, Advised Exclusively by Haoyue Capital

VCBeat (WeChat ID: vcbeat) has learned that Junhetang, a chain group of traditional Chinese medicine clinics, recently announced the completion of its RMB 100 million Series C financing round. The round was led by China Healthcare Ventures, with participation from existing investor Grandview Capital. Joywise Capital served as the exclusive financial advisor for this round. Following the completion of this financing, Junhetang will continue to strive to build China’s highest-quality brand for traditional Chinese medicine services.

Founded in 2011, Junhetang is built on the core philosophy of “Expert Physicians and Quality Herbs.” It is dedicated to providing high-quality, multi-tiered traditional Chinese medicine (TCM) medical care and health management services to patients and enterprises. Currently, Junhetang has established more than 10 chain TCM clinics in cities including Shanghai, Nanjing, Wuhan, Hangzhou, and Wuxi, serving nearly one million patient visits annually. It has become one of the most influential TCM healthcare chains in China.

From its first clinic in Nanjing to the opening of its third Nanjing clinic six years later, and further expansion into cities such as Wuhan and Hangzhou, Junhetang has successfully implemented its urban strategy, business model, and brand influence across multiple regions, breaking through the industry-wide challenge of “connected but not standardized” traditional Chinese medicine (TCM) services. In this regard, Junhetang states that a robust and comprehensive physician service system, talent training system, and supply chain system are key to achieving true standardization and scalability of TCM services.

Centered on the core philosophy of “Ming Yi” (Distinguished Physicians) in traditional Chinese medicine (TCM) services, Junhetang currently has a robust team of practitioners providing regular consultations, including 8 nationally renowned senior TCM masters, 12 TCM experts receiving State Council special allowances, over 30 provincially and municipally renowned TCM physicians, more than 60 doctoral and master’s supervisors in TCM, and nearly 500 popular TCM physicians highly regarded by patients. Furthermore, Junhetang has established the three-year “Junhe TCM Talent Development Program” to build a talent reserve for the clinic’s long-term growth. This year, Junhetang will launch its Physician Partner Program, inviting like-minded experts who are committed to advancing TCM to become partners of Junhetang.

In terms of “high-quality medicines,” Junhetang strictly adheres to the core standards of “efficacy, safety, and stability,” with its safety grade benchmarks aligned with the requirements of the European Union, Japan, and other countries. Currently, Junhetang operates the only production base in China certified by four countries—China, the United States, Germany, and South Korea—and is the sole recipient of the “Green Traditional Chinese Medicine Processing Export Demonstration Base” certification awarded by the Ministry of Commerce. Mr. Yang Wenqi, an inheritor of the “Jinling Yang Family TCM Processing Techniques,” a national intangible cultural heritage, serves as Junhetang’s chief expert for processing pills, powders, ointments, and pellets. He rigorously oversees every step of medicinal material processing to ensure authenticity and optimal therapeutic efficacy. Centered on Nanjing’s intangible cultural heritage initiatives, Junhetang is committed to establishing a comprehensive TCM processing and distribution center covering all varieties and dosage forms, including fresh herbs, proprietary Chinese medicines, pills, powders, ointments, pellets, granules, conventional TCM products, and export-grade premium TCM products, thereby enabling every physician and patient to source all their desired traditional Chinese medicines at Junhetang.

Building on this foundation, Junhetang has implemented a series of innovative models, including the establishment of specialized disease-focused project teams based on extensive clinical experience. These teams are dedicated to researching and developing Junhetang’s proprietary solutions for specific single diseases, along with creating specialized medical service offerings and distinctive products. Furthermore, the Junhe TCM App, serving as a robust complement to its offline clinics, has evolved into a “mobile clinic” within the Junhetang ecosystem, providing patients with comprehensive services that encompass pre-consultation inquiries, in-treatment follow-ups, and post-treatment tracking and management.

Mr. Pan Xuecai, Founder of Junhetang

Mr. Pan Xuecai, founder of Junhetang, stated that Meinian Onehealth, the initiator of the China Healthcare Fund, is a well-known brand in China’s health industry. Junhetang and the China Healthcare Fund share a common vision for the future of Traditional Chinese Medicine (TCM). They believe that the prudent use of capital can facilitate the development of TCM. Junhetang is committed to undertaking only initiatives that genuinely benefit TCM, empowering TCM practitioners to become the true drivers of its advancement. Following the completion of this financing round, Junhetang will accelerate its chain expansion strategy, further integrate with the health check-up industry, and continue to strengthen upstream traceability and integration in TCM services, as well as closed-loop customer service management.

China Healthcare Fund stated that the series of policies issued by the state over the past two years to encourage the development of the traditional Chinese medicine (TCM) industry have outlined a grand blueprint for comprehensively revitalizing TCM and advancing the Healthy China initiative, marking a new historical phase in the development of TCM. Junhetang has been deeply engaged in the TCM sector for many years, currently operating a chain of TCM clinics across multiple cities. It has also made numerous innovative attempts along the upstream and downstream segments of TCM services, achieving notable success. China Healthcare Fund believes that joining forces with Junhetang and other outstanding capital partners will certainly contribute to the promising future of China’s TCM industry.

Jiang Yanye, Partner at Hehong Capital, expressed his pleasure in witnessing the progress Junhetang has made in recent years, stating that Hehong Capital will continue to provide steadfast support and grow alongside the enterprise. Junhetang’s introduction of China Healthcare Fund, an investor with robust industrial resources, holds promising prospects for jointly advancing the company’s development with all parties involved.

Mr. Ding Yameng, Founding Partner of Haoyue Capital, stated that the uneven quality of services and the difficulty in unifying service standards have become bottlenecks hindering the further development of China’s traditional Chinese medicine (TCM) service industry. Since its establishment, Junhetang has continuously explored and pursued higher standards in pharmaceuticals, services, and talent development. It is poised to become an industry benchmark and a renowned brand in China’s chain-based TCM service sector.