Realbio Secures RMB 40 Million in Pre-A Funding to Pioneer the Billion-Dollar Microbiome and Precision Health Market
Recently, Shanghai RayGene Biotechnology Co., Ltd. (hereinafter referred to as “RayGene”) announced the successful completion of its RMB 40 million Pre-A financing round, led by Shenzhen Songhe Innovation Capital, with participation from Hangzhou Beike Venture Capital Fund and Beijing Tianhe Yongxin.
Regarding this round of financing, Dr. Qin Nan, CEO and Chief Scientist of RayBiotech, stated:
The proceeds from this round of financing will be used for product optimization and upgrades, the recruitment of high-end talent, and the establishment of an independent clinical laboratory. The successful completion of this financing round is primarily attributed to the following two factors:
1. RayGene Biotech’s focus on the microbiome sector within the broader biomedical and health industry aligns with the strategic layout of its investors;
2. RayBiotech boasts an outstanding team, from the United StatesMicroorganismsDr. [Name]’s tenure at BGI and Zhejiang University, coupled with years of research and industry experience, has enabledQin NanPossesses a profound understanding of the microbiome field. Furthermore,RayBiotech'sThe team also includes multiple experts with overseas experience in microbiomics, bioinformatics analysis, and molecular diagnostics. Its existing core competencies in technology and product R&D are highly valued by investors.
In recent years, the field of microbiome basic research has achieved significant breakthroughs and is now at a critical juncture for translating scientific achievements into industrial applications. This May, the United States launched the “National Microbiome Initiative” (NMI), dedicating substantial government resources and massive social capital to propel the microbiome industry. Abroad, a number of prominent startups in the microbiome sector have already emerged, such as Seres Therapeutics, backed by Flagship Ventures and Mayo Clinic, and Second Genome, supported by Pfizer and Roche.
In March this year, China’s Two Sessions proposed a precision medicine initiative, which also included strong support for the development of microbiome science. A number of domestic startups mastering core technologies have emerged, and forward-thinking healthcare investment firms have begun to incubate and strategically position themselves in this field.
The microbiome industry has a broad reach, with its technological advancements poised to significantly impact the medical and healthcare, in vitro diagnostics (IVD), health management, dietary supplements, and traditional Chinese medicine (TCM) sectors. These innovations will benefit individuals, communities, and humanity at large in areas such as healthcare, food production, and environmental restoration. Industry experts believe that the human microbiome-related industries will drive the next wave of precision medicine, with the total addressable market expected to exceed $100 billion within the next three to five years.
The human body is a complex system composed of multi-level living entities: while the human body consists of 30 trillion cells, it harbors over 100 trillion microbial cells; the human genome encodes approximately 23,000 genes, whereas the human microbiome contains nearly 2 million unique genes. Therefore, Nobel laureate Joshua Lederberg referred to the human body as a “superorganism.”
In fact, each individual’s health status is determined by a multitude of factors. In addition to one’s genetic makeup and living environment, the microbial communities that interact synergistically with the human body also play a crucial role.Tailored to the IndividualMicrobiomeThese products will become effective tools for disease detection and treatment, with broad prospects for related biotechnologies and industries.。
Furthermore, the rapid development of high-throughput sequencing technology and the significant enhancement of computational storage and analytical capabilities have drivenLife sciences have entered the era of big data, with vast amounts of bioinformatics and clinical data providing a critical foundation for the in-depth development of the human microbiome and precision medicine.RayBiotech as a microbiomeand the High-Throughput Sequencing Analysis Industrya leader, with a series of high-level technical products and collaborative research with numerous medical institutions both domestically and internationally, forItslay a solid foundation for industrial application.
RayBiotech comprises three major brands: RayGene, RayMed, and RayAgri. Headquartered in Shanghai, RayGene primarily provides high-throughput sequencing and personalized big data analysis solutions, including microbial genome sequencing analysis, amplicon sequencing analysis, and metagenomic sequencing analysis.
Ruiyi Medicine provides professional medical services to major hospitals, health examination centers, and end-user clients, with a particular focus on applications in precision medicine such as human microbiome testing, early cancer screening, and scientifically guided medication. By applying cutting-edge global multi-omics research achievements to the field of medical diagnostics, Ruiyi strives to achieve the goals of preventive care and early warning for major diseases. To this end, Ruiyi Biotech established an independent clinical laboratory in Jinan, relying on the Shandong Academy of Genetic Sciences.
In the field of agricultural microbiology, RayGene has established a deep strategic partnership with Shenzhen Jinxinnong Technology Co., Ltd. As one of the earliest listed companies in China’s livestock industry, Jinxinnong has consistently maintained a leading position in this sector. Through this powerful alliance, both parties will focus on cultivating and incubating cutting-edge diagnostic technologies, products, and services across three key areas: livestock microbiota, nutrition, and disease control and prevention. Centered on the precision livestock farming industry, they will deeply explore the innovative technological frontier of “livestock + microbiota.”
Regarding the investment in RayBiotech, Zhang Yunpeng, General Manager of SV Innovation Capital, stated: "Research and application of the human microbiome remain an emerging field that heavily relies on the integration of industry, academia, and research. The RayBiotech team has already established collaborations with numerous scientific research institutions, penetrating multiple sectors including healthcare, nutritional supplements, and agriculture and livestock. Furthermore, leveraging its strong domestic and international partnerships alongside its leading capabilities in data mining and analysis, RayBiotech is well-positioned to tap into a market valued at hundreds of billions in the future."
Advanced technologies in the microbiome field are highly likely to disrupt and redefine relevant healthcare and agricultural models. Industry insiders firmly believe that unicorn-level companies will emerge in this sector within the next five years. This is why major pharmaceutical companies such as Pfizer and Roche, along with investment firms including Shunwei Capital, Beike Fund, and Tianhe Yongxin, are bullish on this area. In the realm of basic microbiome research, domestic pioneers have been developing in sync with top international institutions; on the path to commercialization, numerous startups hold key proprietary technologies. With the added boost from capital investment, China’s microbiome industry is poised for more robust growth and is expected to stand out amidst fierce international competition.
About Songhe Capital
Shenhe Capital Management Co., Ltd. is a specialized venture capital management firm established in 2007 by Shenzhen-Hong Kong Industry-Academia-Research Venture Capital Co., Ltd. The Shenhe Capital team boasts over 18 years of practical experience in venture capital, with extensive industry backgrounds and expertise in capital operations. Currently, Shenhe Capital manages assets exceeding RMB 9 billion, has made cumulative investments totaling more than RMB 5 billion, oversees over 200 portfolio companies, facilitated the public listing or acquisition by listed companies for 36 enterprises, and helped 11 companies list on the National Equities Exchange and Quotations (NEEQ). Shenhe Capital served as an angel investor for BGI Genomics, Kuang-Chi Science, Royole Corporation, and Appotronics.
About the Shell Foundation
Beike Venture Capital Fund is a professional investment fund focused on early-stage medical and healthcare startups, affiliated with Beike Society, China’s largest Internet-plus-medical-health innovation and entrepreneurship platform. Beike Society is committed to building a global incubation-oriented ecosystem, aggregating entrepreneurial resources, addressing startup pain points, accelerating the transformation of innovative achievements, and promoting the industrialization of entrepreneurship. Currently, Beike Society has established its own offline spaces in Beijing, Tianjin, Shanghai, Shenzhen, and Suzhou in collaboration with partner institutions and local governments, and has set up branches and incubation bases overseas (in the U.S. Bay Area and Melbourne, Australia).
About Tianhe Yongxin
Beijing Tianhe Yongxin is a professional large-scale wealth management group that has always adhered to the corporate mission of "enhancing urban quality, creating wealth for society, and realizing value for customers," with a focus on investments in environmental protection, new energy, new materials, and other fields. In recent years, the company has officially entered the medical and health industry, strategically laying out pharmaceutical entrepreneurship parks in Jilin, Hebei, Shandong, Shanghai, Zhejiang, Shanxi, Guizhou, and other regions. Recently, the company jointly initiated the establishment of the "Hangchuang Fund" with the Tsinghua University NEEQ Investment and Financing Alliance and the Beihang University Alumni Association, aiming to support innovation and entrepreneurship among university faculty, alumni, and students.