Shutong Medical Completes Series A Financing to Accelerate Development and Translation of Gene Editing Therapies

VCBeat has learned that Zhuhai Shutong Medical Technology Co., Ltd. (hereinafter referred to as “Shutong Medical”) recently announced the completion of its Series A financing round. This round was led byShaanxi Investment GrowthLead Investor,TECHNOLOGY FINANCIAL GROUP, Kaide Fund, Huanuo Medical FundJoint investment participation. The funds from this financing round will accelerate Shutong Medical’s commercialization of gene-editing diagnostic products and the filing of Investigational New Drug (IND) applications for its innovative drugs in both China and the United States, thereby continuously enhancing the company’s technological innovation capabilities.

Gene editing technology has brought about revolutionary advancements in biomedicine that far exceed expectations, yet it remains in its early stages of development globally. Shutong Medical, a biopharmaceutical company with gene editing at its core, has been deeply engaged in this field for over a decade. As early as 2009, Shutong Medical’s founding team began intensive research in gene editing, accumulating extensive technical expertise in gene editing tools and drug delivery vectors. Leveraging their experience in the innovative drug industry, they have established comprehensive capabilities for translating new drugs from R&D and regulatory filing to commercialization. Currently, leveraging the advantages of its Postdoctoral Research Station, Shutong Medical has assembled an efficient R&D and production team led by multiple postdoctoral researchers. The company has implemented a robust quality management system, operates standardized GMP-compliant R&D laboratories and production facilities, and has built systematic and efficient technical service and drug development platforms. To date, the company has filed more than 70 patents related to gene editing, off-target detection, novel CRISPR technologies, and drug delivery, with over 50 patents granted.

Shutong Medical is dedicated to applying gene-editing technologies to address unmet clinical needs, including those in the fields of viral infections and related oncological diseases. Currently, Shutong Medical has established a robust pipeline of novel drug candidates. Notably, its innovative gene therapy for HPV has completed investigator-initiated trials (IIT) in multiple patients, demonstrating favorable efficacy and safety profiles. The company is now rapidly advancing its Investigational New Drug (IND) applications in both China and the United States.

Meanwhile, to promote the development and application of gene editing technologies, Shutong Medical has established a one-stop gene editing platform that provides industry partners, including research institutions and enterprises, with comprehensive end-to-end gene editing solutions and safety assessment protocols. The company offers various gene editing tools, as well as gene editing CRO services such as high-throughput screening of new drug targets, multi-program off-target analysis, and drug delivery. Currently, Shutong Medical has established collaborations with multiple renowned universities and innovative pharmaceutical companies to jointly advance the development of China’s cell and gene therapy industry.

Shutong Medical will always uphold the values of “Innovation, Dedication, Integration, and Openness,” striving to become a leading enterprise in the global gene therapy sector. It is committed to vigorously advancing the development of life sciences and biomedicine, ultimately realizing the vision of leveraging gene therapy to benefit humanity and make life better.

Regarding this round of financing, Lin Huabing, Co-founder and CEO of Shutong Medical, stated:“Following our angel round, we are delighted to secure additional investment from renowned institutional investors. We sincerely thank all our existing and new shareholders for their recognition and support. Since its establishment, Shutong Medical has achieved rapid growth, assembled a team with extensive expertise in gene editing technology and drug development, and established a comprehensive”GMPR&D laboratories and production platforms. This financing will accelerate the translation and commercialization of the company’s innovative drugs and diagnostic products, further drive the upgrading of its gene-editing technology platform, and comprehensively enhance Shutong’s competitiveness in the field of gene therapy.”

Dr. Guo Jia of the Shaanxi Growth Fund stated: “Shutong Medical is a biopharmaceutical company with a proprietary gene-editing technology platform that we view very favorably. The company has independently developed a novelCRISPRShutong Medical’s tools, off-target detection technologies, and delivery systems are all at the international forefront. Its selection of indications fully leverages the company’s technological strengths while addressing unmet clinical needs. The Shutong Medical team has demonstrated outstanding innovation and R&D capabilities as well as efficient execution. We are delighted to participate in Shutong’s growth through investment and will leverage our resources and experience to support the founding team and drive the company’s development. We look forward to seeing Shutong Medical accelerate the translation of innovative drugs and diagnostic products into market-ready solutions, thereby benefiting patients both domestically and abroad at the earliest possible stage.”

Dr. Wang Lei of Guangdong Yueke Venture Capital Management Co., Ltd. stated: “Gene editing technology is a revolutionary foundational technology in the field of life sciences. In recent years, research on diagnostic products and gene therapy drugs based on gene editing technology has attracted widespread attention both domestically and internationally, demonstrating significant application potential. The Shutong team has been deeply engaged in gene editing for many years, possessing platform capabilities for foundational innovation in gene editing, along with proprietary gene editing tools, nucleic acid delivery systems, and gene off-target detection methods.CROcore proprietary intellectual property technologies, and based on this, developed China's first HPV [product/therapy] utilizing gene-editing technologyRapid Test Kits and the World's First Batch of HPVClear New Drug. Through this round of capital increase, we look forward to growing together with the company, continuously supporting the development of Shutong Medical, and helping the enterprise become a first-class company in the field of gene editing.”

Wu Li of Guangzhou Kaide Innovation Venture Capital Fund Management Co., Ltd. stated: “Third GenerationCRISPRThe emergence of gene editing technology has opened new avenues for humanity’s fight against disease, representing another major technological platform following chemical small molecules, biological macromolecules, and cell therapies. It has become a highly contested arena for pharmaceutical companies and investment institutions. The Shu Tong team has been deeply engaged in gene editing for many years, having fully experienced the journey from ZNF、TALEN、CRISPRResearch and technological iteration of third-generation gene editing technologies have led to the development of proprietary, foundational intellectual property covering the entire business value chain: gene-editing enzymes, delivery systems, off-target analysis, and sgRNA.design systems, etc. Based on its foundational technologies, Shutong Company has built an integrated precision diagnosis and treatment business system for genetic diagnostics and gene therapy, and has spawned related CRO services.services, truly realizing a dual-wheel drive.GeneralThrough this round of capital increase, we look forward to growing alongside the company and helping Shutong Medical become a global leader in the field of gene therapy.”

Mr. Huang Huawei, Founding Partner of Huanuo Medical Fund, stated: “CGTThis sector has long been a key focus for Huanuo Medical Fund, and we are delighted to have invested in Shutong Technology. Shutong boasts a professional and efficient team that has meticulously built foundational technology platforms, including gene-editing tools. Leveraging this platform, the Shutong team has not only developed a series of innovative drugs with significant long-term value but also created diagnostic kits capable of rapid commercialization, while additionally offering CRO services.Service or patented technology licensing. Investing in Shutong is our Huanuo Medical Fund VICPAnother successful case demonstrating our investment methodology; we look forward to leveraging HuaNuo’s comprehensive medical industry ecosystem to provide deep empowerment and help ShuTong grow into a CGTa leading enterprise in the field.”

Shaanxi Growth Enterprise Leading Fund Co., Ltd. (Shaanxi Investment Growth) is a professional fund management institution officially approved and established by the People’s Government of Shaanxi Province. The company is controlled by Shaanxi Shaanxi Investment Capital Management Co., Ltd., a wholly-owned subsidiary of Shaanxi Investment Group Co., Ltd. Adopting a two-tier architecture and investment operation model of “fund of funds + sub-fund cluster,” the company has, over seven years of development, initially formed a business landscape characterized by the coordinated development of the fund of funds and sub-funds, the sequential development of early-stage, growth-stage, and mature-stage funds, and the synergistic development of government-guided funds and sub-funds. Currently, the company manages 14 funds with a total scale of nearly RMB 6 billion.

Guangdong Technology Financial Group Co., Ltd. (hereinafter referred to as “Technology Financial Group”) is a state-owned enterprise authorized for operation by the People’s Government of Guangdong Province. As one of the earliest venture capital institutions established in China and the first provincial-level technology finance group in the country, it is committed to building a key platform serving technological innovation in Guangdong. In recent years, Technology Financial Group has adhered to high-quality development as its central theme, striving to become a leading force in sci-tech innovation investment, a promoter of strategic emerging industries, and a discoverer and creator of value in the integration of technology and finance. To date, the group has a registered capital of RMB 10.6 billion and total assets of RMB 38.595 billion. It has established or participated in 161 funds, with a total fund size nearing RMB 80 billion. The group has provided investment and financing services to more than 2,000 technology enterprises and facilitated the initial public offerings (IPOs) of over 180 companies.

Guangzhou Kaide Innovation Venture Capital Fund Management Co., Ltd. (hereinafter referred to as “Kaide Fund”) was established in November 2018 with a registered capital of RMB 10 million. It is a mixed-ownership fund management platform initiated by Guangzhou Kaide Venture Capital Co., Ltd. (hereinafter referred to as “Kaide VC”), a subsidiary of Guangzhou Development District Holding Group Co., Ltd. (hereinafter referred to as “Guangkai Holdings”). Kaide Fund was jointly funded by Kaide VC, Shenzhen Chongkai Fund Management Co., Ltd. (hereinafter referred to as “Chongkai Capital”), and the management team, serving as a key pilot platform for Guangkai Holdings to explore market-oriented operations under a mixed-ownership structure. To date, Kaide Fund has initiated the establishment of six funds, with a total fund size of RMB 486.2 million.

Beijing Angels 100 Investment Management Center (Limited Partnership) (proposed to be renamed “Huanuo Venture Capital”) is an investment institution co-founded by Qiao Qian, President of the Zhongguancun Angels 100 Association; Hu Xueqin, Secretary-General; and certified member Huang Huawei, with a specialized focus on the biopharmaceutical sector. Leveraging the extensive entrepreneurial resources of the Angels 100 Association, the firm deeply focuses on the healthcare and wellness industry. By adhering to rigorous project selection criteria, implementing proven investment strategies, and conducting continuous in-depth industry research, it aims to establish a boutique investment institution with exceptional leading capabilities. The firm aggregates capital and integrates deeply into the industry, fostering a profound and organic combination of technological innovation practices and capital operations, thereby achieving positive interaction between industrial and financial resources.