Encore Dermatology Secures $20 Million Debt Financing to Advance Innovative Dermatology Solutions

VCBeat (WeChat Official Account: vcbeat) learned from foreign media that on April 9, U.S. local time, Encore Dermatology, a dermatology treatment company based in Malvern, Pennsylvania, secured $20 million in debt financing from Horizon Technology Finance.

It is reported that Encore Dermatology plans to use this financing to develop three new dermatological products, thereby expanding the company’s product portfolio. These products are primarily intended for the treatment of skin conditions such as psoriasis, atopic dermatitis, and acne.

Encore Dermatology is a pharmaceutical company specializing in dermatology, founded by Neil Niren, M.D., in 2015. The company is dedicated to providing innovative prescription therapies and medical devices to dermatologists, with a focus on improving medical care for patients with skin conditions.

Currently, the company has two marketed prescription dermatological drugs: Impoyz cream and Okebo capsules. Among them, Impoyz cream is the only FDA-approved clobetasol propionate formulation, effectively treating moderate-to-severe plaque psoriasis in patients aged 18 and older. The other drug, Okebo capsules, is a tetracycline-class antibiotic that treats skin infections caused by susceptible bacteria and can serve as an adjunctive therapy in the treatment of severe acne.

In addition to these two core drugs, Encore Dermatology acquired three dermatological drugs from Promius Pharma on April 2: SERNIVO (betamethasone) spray, TRIANEX (triamcinolone acetonide) ointment, and PROMISEB. SERNIVO is a steroidal medication indicated for the treatment of various rheumatic and autoimmune diseases, such as rheumatoid arthritis, systemic lupus erythematosus, dermatitis, and psoriasis. TRIANEX is a synthetic corticosteroid used to treat various skin conditions and can alleviate discomfort associated with oral ulcers. PROMISEB is indicated for the treatment of seborrheic dermatitis and tinea versicolor.

“Encore Dermatology has a professional leadership team that has successfully launched two prescription products, Impoyz cream and Okebo capsules, to the market,” said Gerald A. Michaud, President of Horizon. “Backed by a group of experienced life sciences equity investors, we are pleased that Encore Dermatology has become a strong addition to our life sciences portfolio.”

The life sciences equity investors behind the Encore Dermatology team include EW Healthcare Partners (formerly Essex Woodlands), 1315 Capital, and Longitude Capital.

Regarding this round of financing, Bob Moccia, CEO of Encore Dermatology, stated, “We are delighted to partner with Horizon to jointly expand our product portfolio and provide innovative dermatological solutions for physicians and patients. The proceeds from this financing will support the development of new drugs capable of curing skin conditions such as psoriasis, atopic dermatitis, and acne. Horizon’s investment helps strengthen our strategy and positions us for continued growth and innovation.”

Horizon Technology Finance (NASDAQ: HRZN), founded in 2003, is a closed-end, non-diversified management investment company based in Connecticut, USA. The company’s investment objective is to maximize portfolio returns by generating current income from loans and achieving capital appreciation through warrants obtained at the time of lending. Horizon Technology Finance focuses on providing capital in the form of secured loans to companies in the technology, life sciences, healthcare information services, and clean technology sectors.

(Compiled by Wang Chan)