Company: SXTPW
Filing Date: 2025-02-14
Form Type: S-1
Source: 0001213900-25-014334
Chunk: 258

Company: 60 DEGREES PHARMACEUTICALS, INC.
Filing Date: 2025-02-14
Form: S-1
Chunk 258
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 | ) |
| Conversion of convertible promissory notes                                     |     |        | (1,422,636 | ) |     |          |        - |   |     |             | (35,165 | ) |     |            |         - |     |       | (1,457,801 | ) |
| Reclassification of warrants to equity                                         |     |        |          - |   |     |          | (838,748 | ) |     |             |       - |   |     |            |         - |     |       |   (838,748 | ) |
| Recognition of contingent milestone liability                                  |     |        |          - |   |     |          |        - |   |     |             |       - |   |     |            | 2,117,142 |     |       |  2,117,142 |   |
| Fair value - mark to market adjustment                                         |     |        |          - |   |     |          |        - |   |     |             |       - |   |     |            |    57,052 |     |       |     57,052 |   |
| Derivative liabilities - September 30, 2023                                    |     | $      |          - |   |     | $        |        - |   |     | $           |       - |   |     | $          | 2,174,194 |     | $     |  2,174,194 |   |

Changes in fair value of derivative liabilities
(mark to market adjustment) are included in other income (expense) in the accompanying Consolidated Condensed Statements of Operations
and Comprehensive (Loss) Income. During the nine months ended September 30, 2024 and 2023, the Company recorded a net gain on the change
in fair of derivative liabilities of $ and $, respectively.

Prior to the Company’s IPO, the fair value
of the Company’s potential future issuances of common stock related to common stock issued with promissory notes, warrants and embedded
conversion features in convertible promissory notes was established with an estimate using the Monte Carlo Simulation Model to compute
fair value as of each reporting date. The Monte Carlo simulation requires the input of assumptions, including our stock price, the volatility
of our stock price, remaining term in years, expected dividend yield, and risk-free rate. In addition, the valuation model considered
the probability of the occurrence or nonocc