Horizon Technology Finance Corporation, a venture lending firm focused on secured loans to venture- and private equity-backed companies, said it has provided a venture loan facility of up to $50 million to Pelthos Therapeutics, a publicly traded biopharmaceutical company focused on commercial-stage dermatology products.
The facility includes an initial $30 million funding, with up to an additional $20 million available to support future growth. Pelthos said proceeds will be used for working capital and general corporate purposes as it expands commercialization efforts across its dermatology portfolio.
Pelthos’ lead product is ZELSUVMI (berdazimer) topical gel, an FDA-approved treatment for molluscum contagiosum, a common skin infection characterized by small bumps or lesions. The company said ZELSUVMI delivers nitric oxide directly to affected skin or tissue via its Nitricil platform, enabling the gel to release slowly onto targeted areas.
In addition to ZELSUVMI, Pelthos recently acquired rights to two other topical products: Xepi Cream, used to treat impetigo, and Xeglyze, used to treat head lice. Pelthos said the financing will help support its commercial push for ZELSUVMI and Xepi Cream within pediatric and dermatology channels, and assist the company as it scales operations, including the launch of Xeglyze.
Horizon, an affiliate of Monroe Capital, positions itself as a specialty finance provider to companies in technology, life sciences, healthcare information and services, and sustainability. The company’s model emphasizes generating current income from debt investments while pursuing capital appreciation through warrants it may receive in connection with financings.
The announcement underscores continued demand for venture debt and growth-oriented credit among smaller public life science companies as they fund commercial launches and broader market expansion without relying solely on equity issuance.
KEY QUOTES:
“Pelthos is bringing meaningful innovation to the dermatology space. ZELSUVMI offers a new at-home option for individuals with molluscum contagiosum, providing an alternative to traditional in-office procedures. We are excited to support this treatment and Pelthos’ continued growth.”
Paul Seitz, Chief Investment Officer, Horizon Technology Finance
“With extensive experience lending to high-quality life science companies, Horizon was able to structure a financing facility that aligned with our current growth strategy. This facility will be instrumental in helping us promote both ZELSUVMI and Xepi Cream to the pediatric and dermatologic communities, and assist us in further scaling our business, including the launch of the recently acquired Xeglyze.”
Scott Plesha, Chief Executive Officer, Pelthos Therapeutics
