Anew Labs, the AI-driven drug discovery company spun out of ByteDance, has raised $290 million in its first external funding round, valuing the business at approximately $1.5 billion.
The round attracted backing from several major investors, including HSG, formerly known as Sequoia China, IDG Capital, GL Ventures and 5Y Capital. Gaorong Ventures, Primavera Venture Partners, Boyu Capital, SBP Group and the state-backed Shanghai Future Industries Fund also participated.
Following the transaction, ByteDance continues to own a controlling 56% stake in Anew Labs, Reuters reported, citing people familiar with the deal.
AI tools for drug discovery
Based in Shanghai, Anew Labs operates additional offices in Singapore and San Francisco. Its technology is focused on applying AI to areas including biomolecular structure prediction, molecular and antibody design, and scientific reasoning for drug-development research.
The company has built a suite of specialised AI systems for different stages of the discovery process. AnewFold focuses on predicting protein and molecular-complex structures, while AnewSampling is designed for molecular dynamics. AnewDesign supports antibody design and optimisation, and AnewMind is a scientific-reasoning large language model intended to assist with drug-discovery decisions.
Anew Labs has disclosed programs aimed at IL17 and IL4R, in addition to two targets that remain undisclosed. The company says its approach combines AI models with laboratory research and drug-development expertise to move potential therapies through discovery and preclinical development.
The latest financing highlights the growing investor appetite for AI applications that could help accelerate drug discovery. Singapore is also emerging as a hub for AI-enabled pharmaceutical research. TNGlobal previously reported on XtalPi’s collaboration with Singapore’s Experimental Drug Development Centre to use AI and automation in a drug-discovery programme targeting non-small cell lung cancer.
By operating as a standalone company, Anew Labs can independently raise capital and pursue partnerships with pharmaceutical companies while ByteDance continues to retain control of the business.
