Alphyn Biologics, a clinical-stage dermatology company focused on developing first-in-class multi-target therapeutics for severe and common skin diseases, has closed a $25 million Series B financing round, twice oversubscribed. QCA Investment Group led the Series B round. It included participation from existing investors Angel Physicians Fund and Serial Stage Venture Partners, as well as a corporate fund, along with several new investors. The strong demand for the round reflects growing investor confidence in Alphyn’s proprietary Multi-Target Therapeutic Drug Platform and the potential of its lead candidate, Zabalafin Hydrogel, to address multiple underlying drivers of inflammatory and infectious skin diseases.
The funding will be used to support the company’s global Phase 2b clinical trial for atopic dermatitis, initiate a Phase 2 clinical program targeting molluscum contagiosum, and expand the company’s supply of drug raw materials as it prepares for later-stage development.
Zabalafin Hydrogel is being developed as a topical therapy designed to simultaneously treat the interconnected drivers of atopic dermatitis, including inflammation, itch, bacterial involvement, and dry skin. In addition, the therapy is being advanced as a potential treatment for molluscum contagiosum, where it is intended to directly target the virus while also addressing associated itch, inflammation, dermatitis, and secondary bacterial infections. Current therapies for both conditions typically focus on a single disease driver, leaving patients with limited options for comprehensive and sustained disease control.
With the new financing, Alphyn plans to advance Zabalafin Hydrogel toward two pivotal Phase 3 trials for atopic dermatitis while broadening its overall pipeline of dermatology therapies. The company believes its approach may offer advantages in efficacy, safety, patient tolerability, and long-term disease management, particularly for pediatric populations affected by molluscum contagiosum, where existing treatments are often painful and destructive to the skin.
Founded in 2020, Alphyn Biologics is headquartered in Annapolis, Maryland, and Cincinnati, Ohio, and operates wholly owned subsidiaries in Australia and Austria. The company has now raised approximately $34 million since inception and continues to build a diversified pipeline based on its Zabalafin Platform, which leverages multiple bioactive compounds and mechanisms of action to address complex dermatologic conditions.
KEY QUOTES:
“We are incredibly grateful for the support of our current and new investors. This financing reflects their confidence in our Multi-Target Therapeutic Drug Platform and our unique and highly differentiated drug candidates for atopic dermatitis and the molluscum contagiosum virus. We are well-positioned to rapidly advance Zabalafin Hydrogel towards our next key milestones – two pivotal Phase 3 trials – while broadening our pipeline of breakthrough therapies for skin diseases.”
Neal Koller, Chief Executive Officer, Alphyn Biologics
“Alphyn is breaking new ground with a first-in-class, natural topical therapeutic that is expected to directly addresses all of AD’s problems and have the potential for long-term, continuous use. With an experienced leadership team and their continued strong execution, Alphyn is poised to meet two tremendous market needs and bring patients a highly innovative new therapy for AD and MCV.”
Tony Shipley, Chairman, QCA Investment Group
