Pelage Pharmaceuticals, a Los Angeles-based clinical-stage regenerative medicine company, has raised USD 120 million in a Series B funding round to accelerate the development of its innovative treatment for hair loss. The financing was co-led by ARCH Venture Partners and GV (formerly Google Ventures), with participation from existing investors.

The proceeds will support the continued development of the company’s lead candidate, PP405, a topical small molecule designed to reactivate dormant hair follicle stem cells and stimulate natural hair regrowth in both men and women. Pelage plans to initiate late-stage clinical trials in 2026 to evaluate the therapy’s safety and efficacy.

In a Phase 2a study involving 78 participants with androgenetic alopecia, PP405 demonstrated promising results. The treatment was well tolerated and showed early signs of efficacy, with 31 percent of men experiencing a more than 20 percent increase in hair density at week eight, compared to none in the placebo group.

The newly secured capital will also support Pelage’s efforts to expand operations, grow its team, and progress additional regenerative medicine programmes aimed at addressing the underlying biological mechanisms of hair loss rather than simply managing symptoms.