Company: PTHS
Filing Date: 2025-05-13
Form Type: 10-Q
Source: 0001753926-25-000790
Chunk: 114

Company: Pelthos Therapeutics Inc.
Filing Date: 2025-05-13
Form: 10-Q
Item: Part II, Item 1
Chunk 114
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 repurchase plan (the “Repurchase Plan”) pursuant to which
up to $250,000 of the Company’s Common Stock may be repurchased prior to December 31, 2024, unless completed sooner
or otherwise extended. We established the Repurchase Plan on the premise that the value of the Company’s programs and prospects
were not reflected in the trading price of the Company’s Common Stock on the NYSE American and in an effort to maintain
a minimum price relative to NYSE American’s listing standards. Further, the Company endeavored to balance the repurchase
of what the Company felt was undervalued stock and the Company’s available cash, as a result of which, the timing and actual
number of shares repurchased have depended and will continue to depend on a variety of factors including trading price of the
Company’s Common Stock on the NYSE American, the Company’s financial performance, corporate and regulatory requirements
and other market conditions.

38

Repurchase
Plan Amendment

On
October 22, 2024, the board of directors authorized an amendment (the “Plan Amendment”) to the Repurchase Plan to
increase the total value of shares of Common Stock available for repurchase by the Company under the Repurchase Plan by an additional
$500,000, to $750,000. In addition, the Plan Amendment extended the termination date of the Repurchase Plan from December 31,
2024 to June 30, 2025, prior to which Common Stock may be repurchased, unless completed sooner or otherwise extended.

We
did not repurchase any shares during the first quarter of the fiscal year covered by this Quarterly Report on Form 10-Q. 

Item
3. Defaults Upon Senior Securities

None.

Item
4. Mine Safety Disclosures

Not
applicable.

Item
5. Other Information

On May 8, 2025, we issued an unsecured
promissory note in the aggregate principal amount of $325,000 (the “May Bridge Note”) to the Holder, for a purchase
price of $250,000, pursuant to which the Company promises to pay the Holder or its registered assigns the principal sum of $325,000
or such amount equal to the outstanding principal amount of the May Bridge Note together with interest. The May Bridge Note will
bear interest on the outstanding principal amount at an annual rate equal to 6.0%. The May Bridge Note may be prepaid by the Company
without penalty, in whole or in