[Behind the Scenes] Why Hanall Biopharma is in the spotlight over hair loss drug coverage

Jun 21, 2026, 11:29 am

As the government begins reviewing the expansion of National Health Insurance coverage to hair loss treatments, interest within the pharmaceutical industry is intensifying. Amid this momentum, observers inside and outside the industry are turning their eyes toward Hanall Biopharma, an affiliate of Daewoong Pharmaceutical Group. While Hanall Biopharma is widely recognized as a new drug developer focusing on autoimmune diseases and Parkinson's disease treatments, it also maintains a solid presence in the hair loss treatment sector.

Hanall Biopharma possesses a comprehensive product portfolio covering both finasteride and dutasteride, the two representative active ingredients in the domestic hair loss treatment market. The company markets 'Hairgro,' a finasteride-based treatment; 'Adamo,' a dutasteride-based treatment; and 'Pangro,' an auxiliary hair loss treatment. Furthermore, it has established a dedicated production line exclusively for hair loss medications. Industry analysts note that this infrastructure gives the company a distinct competitive edge in scaling up production should the market expand in the future.

Particularly noteworthy is Hairgro's dominant market position. According to UBIST, a pharmaceutical prescription and sales data platform, Hairgro secured the number one market share among domestic pharmaceutical companies in the finasteride 1 mg sector last year. It recorded 7.2 billion won in sales, capturing an 8.7% market share. Adamo, the dutasteride-based treatment, also maintained a stable presence with a 5.8% market share.

The industry's primary anticipation lies in the potential for market expansion driven by health insurance coverage. Currently, hair loss treatments are classified as non-reimbursable, meaning patients must bear the full cost of therapy. Consequently, a significant amount of latent demand remains untapped as individuals delay or forego treatment. If reimbursement is realized, the reduced financial burden is expected to boost prescription demand, which observers project could disproportionately benefit products with higher market shares.

Hanall Biopharma's operational structure adds another layer of strategic interest. While continuously advancing clinical trials for its new drug pipeline, the company successfully turned a profit this year. Analysts suggest that if the hair loss treatment business experiences further growth, it could serve as a highly stable cash cow, thereby strengthening the company's financial capacity for research and development (R&D) investments.

Nevertheless, the inclusion of hair loss treatments in health insurance coverage remains in the preliminary review phase. To implement the policy, several procedures must be completed, including establishing disease classification criteria, evaluating medical efficacy and economic viability, and undergoing deliberations by the Health Insurance Policy Review Committee. Debates surrounding the burden on health insurance finances also persist. Some corners of the medical community express concern over a sharp increase in financial strain, arguing that expanding coverage for severe illnesses should remain the priority.

Nonetheless, with the Ministry of Health and Welfare mentioning a implementation schedule for the second half of the year, relevant discussions are expected to continue for some time. Irrespective of whether the policy officially takes effect, the mere possibility of market expansion keeps the industry's focus squarely on the role Hanall Biopharma will play moving forward.

Choi Jung-ah

#Hanall Biopharma #Hair loss