XtalPi Closes $46 Million Series B+ Round | FreeS Fund Deal Brief

" From the Investor

Rui Ma, Vice President, FreeS Fund

Email: marui@freesvc.com

Congratulations to XtalPi on completing its new funding round.

Drug discovery and development, medical imaging, and rational biological design (synthetic biology) are FreeS Fund's key investment themes in biotechnology. Starting from crystal structure prediction, XtalPi has earned recognition from Pfizer and numerous top-tier funds and strategic investors, establishing itself as a leading company in AI-driven drug development. This stems from the team's expertise in quantum physics, its product focus, and its ability to commercialize.

We are optimistic about XtalPi's efforts to advance along the pharmaceutical value chain — leveraging computing power, AI, and core technologies to enable new AI algorithm applications for drug discovery across broader chemical spaces, prediction of critical drug properties, and optimization of late-stage drug development processes.

Since our founding, FreeS Fund has consistently sought out and invested in cutting-edge technology projects overseas. XtalPi stands out among Boston startups. Congratulations once again to XtalPi! We will continue to invest in more cross-border technology projects, bringing more innovative elements to China's economic transformation.

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XtalPi announced on October 24 US time that it has completed a $46 million Series B+ round (approximately RMB 320 million), led by China Life Healthcare Fund with SIG Asia Investments and Yael Capital participating. This round will accelerate XtalPi's business expansion and the build-out of its intelligent drug R&D platform, helping its technology find applications across more areas of pharmaceutical research.

XtalPi is a computation-driven innovative drug R&D company. Its ID4 (Intelligent Digital Drug Discovery and Development) platform combines quantum physics, artificial intelligence, and cloud computing to accurately predict multiple critical properties of small-molecule drugs, accelerating the efficiency and success rate of preclinical research. XtalPi's drug crystal structure prediction technology has reached world-leading levels, far surpassing comparable methods in system complexity, prediction accuracy, and computational speed. This technology has already been adopted by multiple global pharmaceutical companies and has received broad recognition from industry experts.

Building on its established successes and partnerships, following this new funding round XtalPi will focus on deploying AI algorithms across more critical stages of drug R&D. It aims to provide new AI algorithm applications for drug discovery in broader chemical spaces, prediction of critical drug properties, and optimization of late-stage drug development processes. XtalPi will also upgrade its existing million-core cloud resource scheduling platform to create an industry-leading cloud-based R&D platform in terms of computing power and security classification, offering highly customized solutions for pharmaceutical clients.

Shuhao Wen, XtalPi co-founder and chairman, said: "XtalPi has already earned strong recognition from innovative pharmaceutical industry clients. Going forward, we also plan to open our computational resource scheduling and security infrastructure platform to more drug R&D tool developers worldwide, connecting more AI drug development tools for industrial use. We aim to empower global drug R&D institutions and improve the efficiency of new drug discovery and pharmaceutical product development."

XtalPi's Series A was led by Tencent with ZhenFund and FreeS Fund participating. In January of this year, it completed its Series B led by HSG with Google and Tencent following on. In May, XtalPi also announced a strategic R&D collaboration with Pfizer's US R&D center, combining AI and quantum physics to develop a drug molecule simulation platform for Pfizer to enhance its drug design capabilities and efficiency. Its technology is gradually transforming drug discovery and screening research methods, earning praise and validation from Pfizer's scientific team.

To date, XtalPi has raised over $66 million in total funding, making it one of the most funded companies globally in the AI-driven drug R&D sector.