China Digest: Oral care brand NYSCPS raises $62m; Sherpa leads $30m round in PAQ

Chinese oral care brand NYSCPS has raised nearly $62 million led by Huaxing Growth Capital. In a separate development, Sherpa Healthcare Partners has led a $30-million Series A round in the US-based biotech firm PAQ Therapeutics.

Huaxing Growth Capital invests in oral care brand NYSCPS

Huaxing Growth Capital, a flagship investment arm of investment bank China Renaissance, has led a 400-million-yuan ($61.6 million) Series B round in Chinese oral care brand NYSCPS, the investor announced on Monday.

Chinese investment companies Jinding Capital, CoStone Capital, and ABC Capital, which is affiliated with industry investment firm ABC Group, also participated in the round. Existing investors Sinovation Ventures, a venture firm led by ex-Google China head Kai-Fu Lee, and TikTok-owner ByteDance continued to back the Series B round.

Founded in 2018, NYSCPS provides a range of oral care products including mouthwash, toothpaste, oral spray, teeth whitening strips, and oral irrigators, among others. The startup claims that its monthly revenues across all online and offline sales channels crossed 100 million yuan ($15.4 million) in June.

Shenzhen-based NYSCPS, which has built an online presence across e-commerce platforms in China, has been actively promoting its sales through offline stores over the past four months. Its products are currently available in about 20,000 stores and supermarkets. This network of offline partner stores is expected to exceed 100,000 by the end of 2021, according to a statement.

It closed $10 million in a Series A+ round led by Sinovation Ventures in February. Crystal Stream Capital and Plum Ventures also invested in the previous deal.

Since its inception in 2013, the PE branch of Hong Kong-listed China Renaissance, consisting of Huaxing Growth Capital and Huaxing Healthcare Capital, has booked over 57 billion yuan (nearly $8.8 billion) in total assets under management (AUM) as of December 31, 2020.

The PE team contributed to 50% of the revenues from China Renaissance’s asset management business, while the other half came from its underwriting services, as well as market research, sales, trading, and brokerage offerings.

Sherpa leads $30m round in US-based biotech firm PAQ

Sherpa Healthcare Partners, a venture capital (VC) firm that focuses on healthcare investments in China, has led a $30-million Series A funding round for Massachusetts, US-based biotech firm PAQ Therapeutics.

China-focused private equity (PE) firm Huagai Capital; MSA Capital, an investment firm that manages over $1.5 billion; and MRL Ventures Fund, which invests in early-stage, preclinical therapeutics firms globally, participated in this round. The firm’s seed investors Nest.Bio Ventures and Matrix Partners China re-upped, PAQ announced on July 15.

PAQ uses a new approach to restore health and curing disease through autophagy, which is the body’s versatile mechanism for natural cellular degradation that cleans out damaged cells in order to regenerate newer, healthier cells. Leveraging its autophagosome-tethering compound (ATTEC) technology, the firm develops a novel class of small-molecule degraders capable of binding a diverse array of substrates to the autophagy pathway.

Its approach and technology selectively catalyse autophagy-dependent degradation of a wide range of disease-causing substrates, including proteins and non-protein substrates, such as aggregates, mitochondria, lipids, and pathogens.

The Series A financing will allow the PAQ to advance its ATTEC platform and progress its pipeline programmes.

“We see tremendous potential for autophagy-dependent degradation to achieve major therapeutic innovations leveraging the flexibility of small molecules to create cures and overcome serious diseases where therapeutic options are limited for patients,” said Cheng Xing, Sherpa’s managing partner, in a statement.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.