Tencent, IDG co-lead $88m round in Chinese startup MicroTech Medical

MicroTech Medical, a Chinese healthcare company, announced that it has raised 575 million yuan (US$87.9 million) in a funding round co-led by Tencent, IDG Capital, and Taikang Asset Management’s fund.

China Everbright Limited, Zhongjin Pucheng Investment, and 3H Health Investment also participated in the round, along with existing investors Qiming Venture Partners, Lilly Asia Ventures, CD Capital, Shanghai Guofang FOF Equity Investment Management.

Founded in 2011, MicroTech Medical is focused on developing diabetes therapy and diagnostic products. It is based in Hangzhou and has a research and development center in Silicon Valley.

The company will use the fresh funds to expand its commercialized product and the production line layout for a new offering. It is also looking to develop a closed-loop artificial pancreas, enhance its cloud-based blood glucose data management system, invest in R&D, and build its global sales team.

At present, there are 463 million adults between the ages of 20 to 79 who have diabetes. That number expected to reach 700 million by 2045, MicroTech Medical said in a statement, citing the International Diabetes Federation.

Prior to the latest investment, the company secured a series C round from Shanghai Guofang FOF Equity Investment Management in 2018, among others.

In 2016, MicroTech Medical raised an undisclosed amount of series A money from China Health Industry Investment Fund and Lilly Asia Ventures as well as a series B round led by Qiming Venture Partners.