ZhenGe Biotech, a Chinese macromolecular pharmaceutical contract development and manufacturing organisation (CDMO), has secured $51 million in a Series A round of financing led by Shanghai-based healthcare investment firm LYFE Capital.
Other investors in the new round include Boston-born investment company IDG Capital, Chinese private equity firm Cowin Capital, and Shanghai-based GT Capital.
Shanghai Guofang FOF, a fund of funds (FOF) operated by state-owned Shanghai International Group (SIG), and Korea Investment Partners (KIP), a venture capital unit of Korea Investment Holdings, also participated in the investment, said ZhenGe Biotech in a statement on Monday.
Founded in 2017, ZhenGe Biotech serves pharma companies on a contract basis to provide comprehensive services from drug development to drug manufacturing. The company specialises in cell line development, biological drug production process development, engineering amplification, process characterization and verification.
Proceeds will be used for talent recruitment, the expansion of its research and development centre, and the construction of an R&D lab in the United States.
The company is also building a production base of 10,000 square metres (107,639 square feet) at southern Shanghai’s Lin-Gang Special Area for biopharmaceutical pilot manufacturing and large-scale good manufacturing practice (GMP) production of mammalian cell culture media.
Shanghai-based ZhenGe Biotech currently owns labs and R&D centres for macromolecule biologics CMC development and biopharmaceutical pilot manufacturing in other districts across Shanghai.
It also set up a 4,000-square-feet R&D lab in Rockville, Maryland, USA, for large-molecule drug discovery services, molecular design, cell line establishment, and medium development.
The company plans to invest more than 1 billion yuan ($141 million) in the construction of its commercial production facilities in the next two years, according to the statement.