HualanGene raises 800M yuan angel round to capitalize on booming medicine-food homology market
Guangxi Hualan Gene Pharmaceutical Group Co., Ltd. ("HualanGene") has officially announced the completion of an 800 million yuan angel financing round. The proceeds will be primarily used for large-scale cultivation base construction of its core medicinal materials, upgrading of modern processing production lines, in-depth R&D and innovation of medicine-food homology products, and initial establishment of national sales channels in China.
HualanGene is a full-industry-chain enterprise focused on medicinal and edible Chinese herbs. With core products including Tetrastigma hemsleyanum (San Ye Qing), Cynanchum auriculatum (Bai Shou Wu), Stephania tetrandra (Fen Fang Ji), and Cremastra appendiculata (Shan Ci Gu), the company adopts an integrated "cultivation + processing + production + sales" model. It is dedicated to providing safe, effective, and standardized high-quality health products and services, thereby promoting the modernization and internationalization of traditional Chinese medicine.
The "Healthy China 2030" blueprint explicitly highlights the unique advantages of Traditional Chinese Medicine (TCM) in disease prevention and health promotion. In recent years, the National Health Commission has progressively updated the "Catalog of Substances Recognized as Both Food and Traditional Chinese Medicine" (commonly known as the Medicine-Food Homology List), adding new varieties such as Dendrobium officinale (Tiepi Shihu), Ganoderma lucidum (Lingzhi), and Cornus officinalis (Shanzhuyu). These expansions have created broader opportunities for industry innovation. According to industry statistics, since its initial publication in 2002, the catalog has incorporated over 100 substances, establishing the regulatory foundation for a market exceeding one trillion yuan in scale.
Against the backdrop of rising national health awareness and consumption upgrading, China's healthcare paradigm is shifting from traditional "treating established diseases" toward proactive "preventing future illnesses" health management. According to LeadLeo Research Institute data, China's health industry market size is projected to exceed 20 trillion yuan by 2025. Within this expanding market, medicine-food homology products embodying Eastern wisdom are gaining particular consumer favor due to their perceived natural and mild properties. Key varieties emerging as star categories in this trend include:
Tetrastigma hemsleyanum (San Ye Qing): known for clearing heat, detoxification, and immune enhancement
Cynanchum auriculatum (Bai Shou Wu): valued for tonifying liver and kidney functions and hair blackening
Stephania tetrandra (Fen Fang Ji): used for dispelling wind and relieving pain
Cremastra appendiculata (Shan Ci Gu): recognized for heat-clearing and detoxification properties
Confronting longstanding industry challenges including germplasm degradation, pesticide and heavy metal contamination, and active ingredient instability in Chinese herbal medicine, HualanGene has strategically positioned itself by focusing on scarce varieties such as Tetrastigma hemsleyanum, Cynanchum auriculatum, Stephania tetrandra, and Cremastra appendiculata—all possessing demonstrated medicinal value and significant potential in functional foods. The company has established a unique "Four-Industry Integration" business model, committed to creating a fully integrated supply chain from source to end-user:
Standardized Cultivation: Establishing GACP-compliant core demonstration bases in Guangxi's authentic production regions. Utilizing molecular marker-assisted breeding and other genetic technologies to cultivate superior germplasm, achieving "wild-simulated" standardized cultivation that ensures quality and sustainable supply from the source.
Intelligent Processing: Investing in smart, digital processing facilities employing modern extraction, separation, and formulation technologies. This enables precise extraction and standardization of active ingredients, providing stable and efficient raw material support for downstream products.
Product Innovation: Leveraging R&D capabilities to transform standardized raw materials into innovative health products—including functional foods, dietary supplements, and herbal beverages—that meet modern consumer demands, thereby enhancing industrial value-added.
Branded Sales: Building omnichannel marketing systems integrating online and offline platforms. Through brand development and consumer education, directly engaging both end-consumers (B2C) and business partners (B2B) to realize final commercial value.
HualanGene founder Yang Yongyan stated: "This funding round will significantly accelerate our industrial deployment. HualanGene's mission is to leverage modern biotechnology and standardized agricultural management to address pain points in the traditional Chinese herbal medicine industry, achieving full-chain quality control from 'field to consumer.' Our goal is not only to be a premium raw material supplier but to become a technology-driven, market-oriented comprehensive health solutions provider."