It was a good week for fundings in China life science, with five companies announcing new capital. Chief among them was AutekBio, which released the news that it would take advantage of an impressive $100 million for a biologic CMO facility.
AutekBio, Inc., with headquarters in the Bay Area of California but operations in China, will build Asia’s largest biologic CMO facility in southern Beijing. To construct the facility, AutekBio signed a deal securing $100 million in venture capital from private and government sources. Contributing to the capital raise were SUMA Ventures and Beijing E-Town Harvest International Capital Management Corporation, Beijing’s Municipal Government’s venture capital group.
Chongqing Porton Fine Chemicals Co., a CMO, raised $10 million from the Chongqing DT Fund. The Chongqing DT Fund is a joint effort run by DT Capital of Shanghai and funded by the Chongqing Venture Capital Guidance Fund. Porton will use the money to build a state-of-the-art intermediate and API manufacturing facility in Changshou Chemical Park in Chongqing.
TCT Medical Technology, a China medical device company that focuses on the OB/GYN market, has raised $10 million in new capital from two Fidelity funds. TCT claims to be the largest high-tech medical equipment and supplies importer in China within women’s health. It is the exclusive distributor in China of Cytyc’s ThinPrep pap test, the world’s leading cervical cancer screening product.
EA Inc., a company that makes invisible dental braces, completed a $6.6 million Series A financing led by OrbiMed, which provided “nearly all” of the funds, along with individual investors. OrbiMed characterized the financing as a restructuring of EA Inc., which will move its official headquarters to the Cayman Islands, and its operations to Wuxi.
Lotus Pharmaceuticals (LTUS.OB) has begun construction of nine-story building complex that will provide offices, R&D, production, and storage. The new facility is being built on the grounds of its existing production facility in Beijing. Lotus, which has very low levels of cash, did not disclose the facility’s cost or the source of the funds for the project.
There was also some non-funding news in the China life science sphere during the week just past. Xiaochuan Wang, PhD, a returnee who founded Shanghai’s CRO Sundia MediTech in 2004, was named the Asia-Pacific Entrepreneur of the Year by BioSpectrum. From its beginnings in 2004, Sundia has grown to an organization with 400 employees, including more than 300 scientists, which offers CRO services to over 90 customers from the US, Europe and Japan.
As expected, WuXi PharmaTech (NYSE: WX) reported 2009 net revenues of $270 million, an increase of 7%. Net income climbed to $52.9 million, a great improvement from the loss of $64.2 million in 2008, caused in part by a writedown. In 2009, revenues matched analysts’ expectations, while earnings were slightly below forecasts.