Shanghai, China, July 22, 2020 – MicroPort Scientific Corporation (“MicroPort®”) today announced that Shanghai Horizon Medical Technology Co., Ltd. (“MicroPort® Horizon”), a subsidiary focused on the Assisted Reproductive Technology (ART) business, has officially entered into a 130 million yuan (US$19 million) funding agreement with new investors in accordance with its plan. The investment is led by Shenzhen Capital Group Co., Ltd. and the group’s funds. After the completion of the investment, MicroPort® Horizon will have a valuation of 430 million yuan (US$61 million).
Founded in November 2018, MicroPort® Horizon is focused on medical solutions in the field of ART. Its business covers the R&D, manufacturing, marketing, and technical support of products at every step of the ART treatment process, including egg and sperm collection, fertilization, embryo culture, cryopreservation, and embryo transfer. MicroPort® Horizon has already established strong relationships and collaborations with many well-known IVF centers and universities across China.
According to open-access reports, the infertility rate in China is forecasted to increase from 15.5% in 2017 to 18.1% by 2023. Due to the rise in infertility, government policies have changed to encourage an increase in birth rates such as the two-child policy. As a consequence, the ART market in China has expanded at a CAGR of over 15% from 2013 to 2017, and is expected to keep growing at the high rate within the next three years. Statistics showed that the the assisted reproduction cycles completed in China amounted to about 1.43 million cases in 2018, while the actual underlying demand totaling about 5.2 million cases, resulting in a market worth 200 billion yuan (US$29 billion). Currently, the ART medical device market in China is dominated by imported technologies.
Dr. Guo Zong, Executive Deputy General Manager of MicroPort® Horizon, said, “We are delighted to secure this round of investment for MicroPort® Horizon. The funds will be used to further strengthen our ART product portfolio and medical solutions provided by MicroPort®, so as to support the rapid growth of MicroPort® Horizon and ART sector more broadly on the basis of the resources from the MicroPort® platform. ”
Mr. Yimin Xu, Chairman of MicroPort® Horizon, said, “This round of funding marks a major milestone for MicroPort® Horizon, which not only demonstrates our investors’ confidence in the rapid development of the ART market, but also affirms that the technological strength and growth potential of MicroPort® in this segment have been acknowledged by the public. This round of funding will expedite the development of MicroPort® Horizon and bring about high-quality and accessible medical solutions for the couples trying to conceive.”