Recently, CR State-Regulated Xiamen Consumption Fund completed its strategic investment in Smartee, a leading digital invisible orthodontic enterprise in China, and began to participate in the construction of China's invisible orthodontic business. This round of financing will accelerate the industrial layout of Smartee in the field of invisible orthodontics, promote the development and innovation of invisible orthodontic technology, strengthen brand building and team development, and expand its core products in domestic and overseas markets.
Smartee, founded in 2004, focuses on R&D of digital invisible orthodontic technology, medical design, manufacturing and sales of customized invisible orthodontics. After 18 years of development, Smartee has achieved completely independent R&D and production with 19 unique invisible orthodontic technology systems, 8 mature product lines, 13 SKUs, and more than 500 patents. It possesses a number of unique product solutions in the industry, covering patients of all ages, with different spending powers and various correctional demands. Smartee has accumulated more than 500,000 cases of design solutions and produced more than 10 million invisible appliances to serve doctors and patients around the world till now, which makes it one of the leading brands in the domestic invisible orthodontic industry.
With the improvement of living standards and the rising awareness of Chinese people on oral health and orthodontics, the orthodontic industry is growing steadily and rapidly. According to the data of China Insights Consultancy, the incidence of malocclusion in China is about 70%. From 2015 to 2020, the number of orthodontic cases in China increased from 1.6 million to 3.1 million with a compound growth rate of 13.5%, and the market size increased from $3.4 billion to $7.9 billion with a compound annual growth rate of 18.1%, which is much higher than that in Europe, the United States and other regions. However, China's market penetration of invisible orthodontics is only about 10%. Compared with the level of 32% in the United States, China's invisible orthodontic market has a lot to grow. It is expected that China's invisible orthodontic market will still maintain rapid expansion in the next decade.
Smartee is committed to exploring the possibilities of digital invisible orthodontic technology, which makes it a leader in the field of digital orthodontics empowered by technological innovation. Since 2019, centering on the innovative concept of "jaw reconstruction", Smartee has developed the first GS production system in China that takes the shape of the face as a breakthrough to involve various factors such as occlusion, alveolar protrusion, and jaw relationship in the diagnosis and treatment. The production system is not only based on a mature theoretical system, but also covers the technical system and device system of jaw and alveolar orthopedics, integration of invisibility and fixedness, and multiple jaw reconstruction, which solves the clinical problems of facial convexity, facial concavity, and jaw deformities in the field of orthodontics in a ground-breaking way, and provides invisible technical solutions such as joint-disease malocclusion, second orthodontic cases, highly difficulty orthodontics and jaw preservation.
After making achievements in the invisible orthodontic in adults, Smartee developed the classification, diagnostic criteria and devices for children's occlusion guidances in 2020, followed by Children's Occlusion Guidance (T1) and Early Correction (T2) of Smartee Teen, covering the whole cycle of correction management of children and adolescents. With the full listing of the obstetric system in 2022, Smartee's invisible orthodontic obstetric system has been able to provide orthodontic management for all ages for orthodontic users.
Mr. Yao Junfeng, the founder of Smartee, said that Smartee has developed from about 100 cases in 2010 to over 30,000 cases in 2019, about 80,000 cases in 2021, and the market share of the domestic invisible orthodontic market in 2021 is nearly 20%. Constant innovation and capital support help Smartee grow. The company will take the initiative to keep financing under control and benign development with operating the cash flow. The completion of this financing will undoubtedly accelerate the development and strategic layout of Smartee. As a fast-growing national invisible orthodontic brand, Smartee will be committed to investing in the R&D of invisible orthodontic technology, bringing more innovative ideas and impetus to the industry, and sharing cutting-edge invisible orthodontic technology with more people.
Wan Xin, General Manager of CR State-Regulated Xiamen Consumption Fund, said that the rapid growth of case accumulation of Smartee in recent years indicates the potential of the invisible orthodontic industry. With the upgrading of materials and technologies, supported by the education of excellent products to consumers, we believe that the invisible orthodontic industry has great potential for growth in the future. The fund team is honored to participate in the construction of the national invisible orthodontic cause with Smartee. It believes that Smartee will become the leader of China's orthodontic industry, and will create greater opportunities and provide better orthodontic services for patients with excellent doctors and scholars under the leadership of Mr. Yao.
