Veradermics has completed an oversubscribed $150 million Series C financing to advance VDPHL01, its investigational extended-release oral minoxidil tablet, through multiple Phase 3 trials for pattern hair loss treatment. The financing, led by SR One with participation from Viking Global Investors, Marshall Wace, and other top-tier investors, represents one of the largest rounds in aesthetic dermatology history.
The proceeds will fund completion of ongoing Phase 3 registrational trials and a planned New Drug Application (NDA) submission to the FDA for VDPHL01, which could become the first and only extended-release oral minoxidil specifically designed for hair regrowth in both women and men.
Addressing a Massive Unmet Medical Need
Pattern hair loss, also known as androgenetic alopecia, affects an estimated 80 million people in the United States, including 30 million women and 50 million men. The condition significantly impacts quality of life, with patients often experiencing depression, low self-esteem, and social withdrawal. Despite this substantial patient population, there have been no new FDA-approved prescription medicines for pattern hair loss in nearly 30 years.
The market demand reflects this unmet need, with the pattern hair loss treatment market projected to exceed $30 billion by 2028, making it one of the largest aesthetic markets worldwide.
Promising Phase 2 Results Drive Investment
Veradermics announced preliminary data from the male cohort of its ongoing Phase 2 trial, which evaluated VDPHL01 in an open-label, multi-dose study of women and men with mild to moderate pattern hair loss. Among 21 male participants who received VDPHL01 8.5 mg twice daily, the results demonstrated rapid and sustained hair growth.
At two months, participants achieved an average increase in non-vellus target area hair count of 37.5 hairs/cm² from baseline. By four months, this improvement increased to 47.3 hairs/cm² from baseline. Patient-reported outcomes were equally encouraging, with 55% of males reporting "improved" or "much improved" hair coverage at two months, increasing to 90.5% at four months. At the end of the four-month period, 95.0% expressed increased satisfaction with their hair coverage.
Importantly, VDPHL01 has been generally well-tolerated to date and has not been associated with any serious adverse events, including cardiac adverse events.
Innovative Extended-Release Technology
VDPHL01 leverages proprietary extended-release technology to address the limitations of existing minoxidil formulations. While minoxidil is the only FDA-approved active ingredient shown to be effective for hair growth in both women and men, current options have significant drawbacks.
Immediate-release oral minoxidil, originally a blood pressure medication used off-label for hair loss, is associated with an efficacy ceiling that limits hair regrowth potential and dose-limiting tolerability, including cardiac toxicities from drug concentration spikes. Topical minoxidil 5% (Rogaine) has shown limited efficacy, with nearly 90% of patients discontinuing use due to its messy, cumbersome application.
VDPHL01's extended-release formulation utilizes a gel matrix designed to deliver long-lasting, steady release of minoxidil for sustained absorption. This approach extends exposure of minoxidil to hair follicles over time while avoiding concentration spikes above minoxidil's identified cardiac activity threshold.
"With VDPHL01, we've engineered an extended-release oral formulation of minoxidil that we believe can maximize hair growth potential while minimizing cardiac risks to safely regrow hair," said Reid Waldman, M.D., Chief Executive Officer of Veradermics.
Expert Validation and Comparative Analysis
Jerry Shapiro, M.D., Professor of Dermatology at New York University School of Medicine and world-renowned hair expert, served as lead investigator in a retrospective analysis comparing VDPHL01 with existing treatments. The analysis, presented at the European Academy of Dermatology and Venereology (EADV) Congress 2025, compared photos from the 21 males in the VDPHL01 Phase 2 study with results from a published double-blind, randomized controlled study of topical minoxidil 5% and immediate-release oral minoxidil.
"As a clinician and researcher, I have not seen an investigational therapy for hair loss indicate the potential for quick results like VDPHL01 based on two- and four-month data," stated Dr. Shapiro. "Looking forward to the complete VDPHL01 Phase 2 and Phase 3 data, I believe VDPHL01 could become the new benchmark for treating pattern hair loss in both women and men."
Phase 3 Program Underway
Veradermics has initiated three multicenter, randomized Phase 3 clinical trials of VDPHL01 in males (NCT06724614, NCT06972264) and females (NCT07146022) with pattern hair loss. The trials are designed to support registrational approval and potential market launch.
"We believe VDPHL01 represents the rare convergence of scientific innovation, favorable preliminary clinical data, and potential commercial opportunity," said Katarina Pance, Ph.D., an investor at SR One who joined Veradermics' board of directors in conjunction with the financing. "We believe that VDPHL01, if approved, can represent a front-line product for one of the largest aesthetics conditions worldwide."
The company believes VDPHL01 is currently the only non-hormonal oral treatment in clinical development for hair loss in both women and men, positioning it to potentially transform treatment paradigms in this large and underserved market.
