Anaerobe Bio Completes Strategic Financing Round Led by Wanzex Shares

September 26,YANYANG Announces Successful Completion of Strategic Financing Round. This round was exclusively invested by Wedge Industrial Co., Ltd. (hereinafter referred to as “Wedge Industrial”), with China Renaissance serving as the exclusive financial advisor.Wedge Industrial Co., Ltd. (000534.SZ) is a company listed on the Main Board of the Shenzhen Stock Exchange, specializing in the R&D, production, and sales of live biotherapeutic products for the pharmaceutical microbiome, as well as high-temperature alloy materials and components for aero-engines. The proceeds from this round of financing will be primarily used for clinical trials of live biotherapeutics, R&D of candidate drug pipelines, and the establishment of a bacterial drug production platform.

Leveraging microbial consortia to restore ecological balance and treat diseases has emerged as a new direction in innovative drug research and development in recent years. This novel microbiome-based therapy was recognized by DeepTech in 2023 as one of the Top Ten Biomedical Technology Trends of the Year. Currently, the global field of microbial pharmaceuticals is gaining momentum, demonstrating significant potential for development and broad application across multiple disease areas, and is now entering a golden period of rapid growth.

“YANYANG” originates from a key provincial and ministerial laboratory specializing in anaerobic microbiology. Leveraging a profound understanding of microecological therapy, the company has strategically differentiated its layout to focus on the R&D of innovative drugs based on formulated microbial consortia. It has established a resource bank comprising over 1,000 diverse human microbial strains and mastered core technologies across the entire value chain, including strain screening, efficacy evaluation, quality control, and fermentation and lyophilization. By overcoming the most significant R&D barriers in the “strain-to-drug” process, YANYANG has secured a leading position in the field of formulated microbial consortium therapeutics. The company has developed a mature Chemistry, Manufacturing, and Controls (CMC) production system, building a competitive moat with its robust technical reserves, and will continue to dedicate itself to the R&D of innovative live biotherapeutic products derived from human microbiota.

The company’s first independently developed Class I innovative drug, “Vaginal Live Quadruple Lactobacillus Capsules” (KAL-001), is the world’s first multi-strain vaginal probiotic pharmaceutical product and China’s first multi-strain live biotherapeutic product to enter clinical trials. Primarily targeting vaginal inflammatory diseases in women of childbearing age, it has completed Phase II clinical trial enrollment. It is also the first live biotherapeutic product in China for treating postmenopausal atrophic vaginitis and is about to complete its Phase II clinical trial enrollment. Meanwhile, YANYANG has laid out multiple indications for intestinal diseases and will formally submit an Investigational New Drug (IND) application for its innovative intestinal live biotherapeutic product within the year.

The team has achieved high cohesion and leveraged its accumulated strengths to balance scientific rigor with commercial viability. It has established a comprehensive multidisciplinary team encompassing medicine, R&D, process development, clinical affairs, and regulatory registration, while maximizing capital efficiency. The product portfolio combines the attributes of innovative pharmaceuticals and consumer goods, supported by a mature CMC (Chemistry, Manufacturing, and Controls) production system that extends to prebiotic excipients and supply chain management. Following this financing round, the team will continue to maximize the value of its proprietary innovation platform and pipeline, focusing on restoring microbiome equilibrium in disease treatment while expanding into the R&D of health-oriented consumer products.

Mr. Cai Yongfeng, Deputy General Manager and Secretary to the Board of Directors of Wedge Industrial Co., Ltd.It stated: “Sichuan Yanyang Biotechnology leverages the Key Laboratory of Anaerobic Microbiology, originally established under the Ministry of Agriculture. Dr. Cheng Lei, the founder, has dedicated nearly two decades to research on anaerobic microbial resources and their utilization, establishing a proprietary live biotherapeutic product (LBP) R&D platform with end-to-end capabilities from ‘strain’ to ‘drug.’ Wedge Industrial Co., Ltd. and Yanyang Biotechnology demonstrate strong business complementarity in the R&D, production, and marketing of new products in the microecology sector. As an industrial investor, Wedge Industrial will empower the advancement of Yanyang Biotechnology’s product pipeline, working together to promote the development of China’s microecology industry and benefit the nation.”

Dr. Cheng Lei, Founder of YANYANGstated, “We sincerely appreciate Wedge Industrial Co., Ltd. for its support and trust in YANYANG. As a pioneer in the development of formulated microbiota-based therapeutics in China, YANYANG is committed to addressing unmet clinical needs by focusing on building a research and development platform that translates microbiota insights into drug candidates, thereby establishing a forward-looking and differentiated R&D pipeline. We look forward to collaborating with Wedge Industrial Co., Ltd. to leverage our respective strengths, accelerate the clinical development and commercialization of microbiome-based drugs, and strive tirelessly toward realizing the vision of ‘harmonious coexistence between humans and microbes, and health for all.’”

Ms. Jiang Jiajia, Managing Director of the Healthcare and Life Sciences Division at China Renaissancestated: “The field of microbiome therapeutics is an area we continue to monitor closely, and this blue-ocean market is on the verge of explosive growth. As a leading innovative company in this sector, Anaerobic Bioscience has built a comprehensive technology platform, a highly differentiated product pipeline, and a talented team with well-rounded capabilities. As a partner of Anaerobic Bioscience, China Renaissance will continue to contribute its efforts to help the company achieve outstanding results and make breakthroughs.”