Hengyu Medical Completes Over RMB 100 Million Financing to Build a Globally Leading Intravascular Imaging Platform for Vascular Interventions

VCBeat learned第一时间 that recently, Horimed Technology Co., Ltd. (hereinafter referred to as "Horimed") announced the completion of a financing round exceeding 100 million yuan. This round was led byNanjing New Industry Emerging Industry Investment Management Co., Ltd., Huatai Zijin (Jiangsu) Equity Investment Fund, Beiyang Begonia Fund, Andon Health (002432.SZ), YuanBio Venture CapitalCo-investment.Poseidon Hill CapitalAct as the exclusive financial advisor. This round of financing will support R&D, production, and registration, with a particular focus on accelerating the commercialization process of already launched products.

Looking back at the development of global IVUS and OCT intravascular imaging in clinical applications over the past decade, from the 2013 ESC guidelines recommending the use of IVUS and OCT for assessing lesion characteristics and optimizing the stent implantation process as Class IIb; to the release of the Chinese expert consensus on the application of IVUS in coronary artery disease in 2018; through extensive clinical practice, continuous accumulation of evidence, and the gradual enhancement of expert consensus. By 2024, the application of intravascular imaging technology (IVUS and OCT) in PCI treatment has been elevated to the highest recommendation level of Class Ia. Intelligent intravascular diagnosis and treatment in vascular intervention is an inevitable trend in precision medicine, forging ahead like the rolling Yangtze River.

Horimed Technology Co., Ltd., established in 2016, focuses on the research of optical and ultrasound medical imaging technologies as well as laser ablation technology. Its core experts have been engaged in related fields for nearly 20 years. The company has applied for 174 patents, including 106 inventions, with 37 invention patents already authorized. Solid R&D capabilities are the hallmark of Horimed and also the most critical success factor for it to become a platform-based enterprise.

Over the past 30 years, China's percutaneous coronary intervention (PCI) technology has made significant progress. In 2023, the registered data for coronary heart disease intervention treatment in mainland China reached 1.63 million cases (excluding cases from military hospitals), with a growth rate of 26.44%. The development trend of coronary heart disease intervention in China is positive, as the country is gradually moving from being a major player in interventions to becoming a global leader. However, the penetration rate of Optical Coherence Tomography (OCT) in China remains low. In 2019, the OCT penetration rate in China was less than 1%, but by 2023, it had increased to 6%. This is still significantly lower compared to Japan’s 30% penetration rate.

Horimed is one of the few manufacturers in China that masters the core equipment and consumables technology of OCT, with scalable production capacity, controllable costs, and sustainability. In the post-stent centralized procurement era, it further promotes the popularization of auxiliary diagnostic OCT products. The successful launch of OCT HS 200 in June 2024 signifies that Horimed possesses internationally leading technology in the field of OCT integration. Currently, only SpectraWAVE's OCT-NIRS product from the United States has been approved by the FDA (510k). Horimed’s OCT HS 200 demonstrates comprehensive advantages in identifying calcification, evaluating fibrous caps, offering a new 3D mode, compatibility with various flushing media, and AI algorithm reserves.

IVUS Procedure Gains International Recognition, with a 90% Market Penetration Rate in Japan. The Chinese Market is in a Rapid Growth Phase, where the IVUS penetration rate in China was 5.3% in 2019 and reached 20% by 2023. Currently, the existing market in China is largely monopolized by European and American foreign brands, making domestic substitution imperative. Horimed has independently developed and mass-produced core components such as IVUS ultrasound transducers, with product performance comparable to imported brands.

Horimed Integrates OCT&IVUS Technology, Dual-Mode in One, Revolutionizing Adaptability. The GEMISIGHT system features two independently operating modules for OCT&IVUS, equipped with a dual-motor and dual-catheter system. It inherits the excellent parameters of standalone OCT and IVUS, allowing flexible switching to address various lesions without compromising individual parameters or performance. OCT&IVUS can work together seamlessly, enabling more precise and efficient diagnosis and treatment of coronary heart disease, truly meeting personalized clinical needs.

Horimed has also product layout in the field of intracardiac ultrasound, incorporating internationally leading ultrasound algorithms and artificial intelligence into the development of 8F and 10F ultrasound catheters. The comprehensive and robust product pipeline positions Horimed as a leading enterprise in China's vascular interventional endovascular imaging industry.

The article on laser applications published by the European Laser Society in the "International Journal of Cardiology" in 2022 is authoritative in the industry. It compiles and analyzes research data on the use of 308nm excimer lasers in PCI procedures over the years, providing a series of clinical application guidelines. This demonstrates that ELCA interventions have been successful. Horimed has independently developed a fully solid-state laser plaque ablation system, which improves ablation efficiency and surgical safety, perfectly addressing the issue of periodic gas replacement for excimer lasers. The product's stability has been significantly enhanced, and its application scenarios are extensive. The product is about to enter the registration clinical stage and, as a cutting-edge laser ablation catheter in the industry, deserves significant attention.

Gao Chao, Investment Director of Nanjing New Industry Emerging Industry Investment Management Co., Ltd.In recent years, the development of precise diagnosis and treatment technology for vascular intervention in China has been relatively rapid. Horimed focuses on the research, production, and sales of equipment and consumables such as cardiovascular IVUS, OCT, and IVUS/OCT all-in-one machines. It is a leading domestic enterprise that possesses both ultrasound and optical technology platforms and continuously develops innovative products based on these platforms. The all-in-one machine independently developed by the company features high integration, cost efficiency, and diverse application scenarios, and has been increasingly recognized and utilized by more and more medical institutions. In the future, it is hoped that Horimed will empower clinicians by continuously launching more innovative products for precise diagnosis and treatment in vascular intervention, along with professional and systematic academic promotion, ultimately benefiting more patients undergoing PCI procedures.

Wang Qi, Investment Director of Huatai Zijin (Jiangsu) Equity Investment FundIt is noted that during the complex and high-risk interventional treatment of cardiovascular diseases, intravascular imaging technology plays an increasingly important guiding role. A series of technologies, including IVUS and OCT, can bring excellent clinical benefits to patients. After years of research and development, Horimed has overcome numerous challenges and successfully broken the monopoly of foreign intravascular imaging technologies, developing a series of outstanding IVUS/OCT products. The company adheres to the combination of medical and engineering expertise, innovates boldly, and its products are highly praised in clinical settings. We have confidence in the company's team and technology platform and are delighted to continue supporting the company’s growth, contributing to the long-term development of China’s medical device industry.

Wang Renda, Investment Director of Beiyang海棠 FundOCT and IVUS are two key technologies in intraluminal imaging. Horimed is an industry-leading innovative enterprise that possesses both technologies and has integrated them into its products. Since the previous investment by Haitang Fund, Horimed has launched new products such as a portable version and a dual-catheter all-in-one machine, enhancing convenience for operators, reducing follow-up costs, and expanding multi-scenario applications. The Horimed team seized the opportunity of centralized procurement to quickly bring their brand into hundreds of major hospitals across China, achieving the fastest growth among domestic brands with appropriate strategies and highly efficient execution, accelerating the process of domestic substitution. Haitang Fund believes that Horimed will continue to expand its leading position in China in the field of intraluminal imaging and is laying out cutting-edge laser ablation technology. Haitang Fund remains optimistic about the project. In the future, Haitang Fund will continue to support innovation and entrepreneurship among Tianjin University alumni, contribute to the development of Horimed, and promote the advancement of precision cardiovascular medical care in China.

YuanBio Venture Capital Partner Gu LeiminIntravascular imaging technology in cardiovascular medicine is a key pillar supporting the development of precision medicine, representing an important trend in the future diagnosis and treatment of cardiovascular diseases. As an essential component of precision medicine, cardiovascular intravascular imaging equipment is not only a necessary tool for complex cardiovascular surgeries but also a highly promising multibillion-dollar track in the global medical market. YuanBio Venture Capital, with its keen market insight, has already invested in numerous cutting-edge fields within cardiovascular medicine, among which intravascular imaging technology has drawn particular attention. In this field, Horimed has emerged as a highly regarded rising star thanks to its forward-looking vision and deep technological expertise. The team not only possesses an advanced intravascular imaging R&D platform but has also built a diverse product pipeline and crafted a uniquely innovative commercialization strategy. Amidst fierce competition in the intravascular imaging sector, Horimed’s ability to stand out is due not only to the team's strategic foresight and exceptional execution but also their relentless pursuit of technological innovation and sense of mission. We are deeply honored to collaborate with the team led by Mr. Liu Zhiyong and Dr. Zhao Shiying, and we look forward to jointly promoting the development of more innovative products in the coming days, accelerating the global market penetration of these products, and bringing new breakthroughs to the precise diagnosis and treatment of cardiovascular diseases worldwide.

Poseidon Hill Capital Wu ZhipengHorimed has achieved a leapfrog growth in sales revenue driven by the commercialization of IVUS and OCT products in recent years. Its pipeline layout has extended from diagnostic technology to therapeutic technology, gradually forming an overall solution for vascular interventional imaging. We are honored to serve Horimed in this round of financing. We believe this financing will accelerate the enhancement of Horimed's R&D, production, and sales capabilities, laying a solid foundation for the company's continued rapid development in the future.

Horimed Technology Co., Ltd., established in 2016, focuses on the independent research, production, and sales of Intravascular Ultrasound (IVUS) equipment and catheters, Optical Coherence Tomography (OCT) equipment and catheters, dual-catheter systems with integrated IVUS/OCT functionality, Fractional Flow Reserve (FFR) platforms based on IVUS and OCT, single-source dual-modality OCT-NIRS technology that combines OCT with Near-Infrared Spectroscopy (NIRS), and intravascular laser plaque ablation technology. The company has mastered optical, ultrasound, and catheter platform technologies and continues to innovate globally based on these core technologies. It is committed to providing an integrated pan-vascular solution based on imaging products for both doctors and patients.

Nanjing New Industry Emerging Industry Investment Management Co., Ltd. is the fund investment platform of Nanjing New Industry Investment Group, a large municipal industrial investment group in Nanjing. The New Industry Investment Group currently wholly owns and controls more than 30 enterprises, including A-share listed companies such as Nanjing Pharmaceutical, Jinling Pharmaceutical, and Nanjing Chemical Fiber. In addition, it holds significant shares in dozens of technology-based enterprises and advanced manufacturing companies, ranking 371st in the "Top 500 Chinese Enterprises 2024." Currently, Nanjing New Industry Emerging Industry Investment manages 10 funds with a total scale exceeding 6 billion yuan. In recent years, it has invested in a number of projects with core competitiveness and development potential, focusing on three major industrial directions: healthcare, high-end equipment manufacturing, and new materials.

Andon Health, established in 1995, adheres to two core strategies: a blockbuster product strategy and the promotion of a new diabetes diagnosis and care "O+O" model in China and the United States. Based on continuous exploration of multi-parameter human physiology and multi-dimensional life health information, the company has applied its R&D achievements to various medical device fields, including blood pressure monitoring, blood glucose monitoring, IVD kits, body temperature measurement, blood oxygen monitoring, and weight/body fat measurement. Andon Health has taken diabetes management as the entry point to implement the "Internet + Medical" strategy. It has built a care team centered around doctors, consisting of physicians, caregivers, nutritionists, and exercise instructors. This creates an integrated closed-loop for full-course standardized management that combines in-hospital and out-of-hospital care, online and offline services, and software and hardware solutions, achieving patient-centered service delivery.

Huatai Zijin is a wholly-owned subsidiary of Huatai Securities engaged in private equity investment business. Relying on the full business chain advantages of Huatai Securities, adhering to the investment philosophy of "growing together with entrepreneurs," and leveraging rich financial and industrial resources, it provides comprehensive capital services to its partners. The company manages over 60 billion yuan in assets and operates multiple funds, including PE, M&A, FOF, and industry-focused funds. Huatai Zijin maintains industry positioning, builds on solid industry research, and focuses deeply on strategic emerging industries such as healthcare, TMT, and advanced manufacturing, accumulating extensive industry experience and resources.

Beiyang海棠 Fund is a venture capital fund established primarily by Tianjin University alumni entrepreneurs from the Tianjin region, in collaboration with other alumni entrepreneurs. It focuses on investing in hard technology projects led by Tianjin University teachers, alumni, and students, among others. Beiyang海棠 Fund is committed to driving the construction of an innovation and entrepreneurship ecosystem through the fund, discovering, empowering, and investing in a group of scientific and technological achievements with industrialization and commercialization value. It aims to assist in transforming research outcomes into market-demand-driven industrialized products and promote the formation of Tianjin's "Stanford + Silicon Valley" model.

YuanBio Venture Capital is an investment institution focused on the early and growth-stage healthcare sector, based in Suzhou BioBAY with a global reach. It has successfully invested in over 190 outstanding companies in the life sciences and healthcare field, covering four major areas: novel drug development, medical devices, in vitro diagnostics and precision medicine, as well as cutting-edge medical technologies. The firm has achieved substantial investment returns, with 19 of its portfolio companies already listed on capital markets such as the Hong Kong Stock Exchange and the STAR Market. YuanBio Venture Capital has been repeatedly recognized as one of the Top 10 venture capital funds in China's healthcare sector and one of the most active healthcare investment institutions in China. With a team of seasoned professional investors and a world-class scientific advisory board, YuanBio Venture Capital boasts extensive experience in entrepreneurship, venture capital, and corporate operations within the biopharmaceutical industry. Leveraging professionalism, focus, and rich industry resources, we are committed to becoming one of the most successful healthcare-focused venture capital funds in China.

Poseidon Hill Capital is a China-based healthcare investment bank composed of a seasoned team in the industry, focusing on providing excellent financing services and complex transaction solutions for mergers and acquisitions in healthcare enterprises. With the team's profound industry experience and keen insight, we are committed to building a bridge between enterprises and capital to support their growth.