The Chinese firm Grand Pharmaceutical Group with headquarters in Hong Kong has pledged to invest 15 million euros in the Zurich-based company Xeltis. This investment comprises an equity participation and product license, further details of which can be found in a press release. It is the first commercial transaction for Xeltis and first investment from an Asian company. Wenger Vieli, a Zurich-based law firm that specializes in the area of commercial and tax law, advised Xeltis in its preparations for the financing round.
The agreement is primarily focused on the restorative hemodialysis access device developed by Xeltis, known as aXess, but also includes other new products for hemodialysis. According to the press release, aXess is the first restorative cardiovascular access graft of its kind for patients with chronic kidney disease and dialysis needs. It is designed in such a way that it can transform into a living blood vessel of the patient, sort of like an arteriovenous fistula. After implantation, the biocompatible, porous microstructure is naturally colonized by the patient’s own tissue. Over time, it takes over the functionality and the original device is absorbed in the body.
“Grand Pharma’s commitment to invest in Xeltis brings global validation of aXess’ commercial potential from one of the largest Chinese life sciences companies, from the country with the largest need of hemodialysis access globally”, comments Eliane Schutte, CEO of Xeltis, in the press release.
Xeltis was founded in 2006 as a spin-off from the University of Zurich. Later on, it merged with the Dutch company Qts/e and now maintains company headquarters in both Zurich, Switzerland, and Eindhoven in the Netherlands. The medtech company has won numerous prizes, including an Edison Award in gold and the Seal of Excellence from the European Commission.