On September 16, sources familiar with the matter revealed on Wednesday that ByteDance's AI drug discovery division has completed a $290 million funding round after being spun off. Headquartered in Shanghai, Anew Labs focuses on leveraging AI for drug discovery and is now valued at $1.5 billion following its first external funding round. This funding round was led by Sequoia China, IDG Capital, and Hillhouse Investment, with co-lead participation from 5Y Capital. Other investors include GaoRong Capital, Primavera Capital, Boyu Capital, as well as strategic investors SBP Group and the Shanghai Future Industry Fund, which has state-owned backing. ByteDance's decision to spin off this AI drug discovery company aims to better support its long-term development, as AI drug discovery differs from the group's core business in terms of industry logic and management approach. After the funding, ByteDance will retain a 56% stake.