Company: PTHS
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001753926-25-001764
Chunk: 65

Company: Pelthos Therapeutics Inc.
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 1
Chunk 65
---
 two contingent milestone payments of $3,000 due upon generating two separate net sales achievements of Xepi. 

In connection with the acquisition of Xepi,
the Company simultaneously entered into a standard third-party manufacturing services agreement in the ordinary course.

Ferrer License Agreement

On November 6, 2025, the Company entered
into a License and API Supply Agreement (the “Ferrer License Agreement”) with Ferrer Internacional, S.A. (“Ferrer”)
and Interquim, S.A.U. (“Interquim”). Pursuant to the Ferrer License Agreement, Ferrer will grant the Company an exclusive,
sublicensable, royalty-bearing license to manufacture and commercialize Xepi in the Territory, as well as an exclusive, royalty-free
sublicensable license to use Ferrer’s trademarks for the purpose of marketing, distributing, promoting and selling Xepi.
Ferrer will supply analytical test methods and other testing know-how required to perform testing as required by applicable regulatory
authorities.

Interquim will act as the supplier to the
Company of Xepi in the Territory. Pursuant to the Ferrer License Agreement, the Company has agreed to order from Interquim certain
minimum amounts of Xepi based on 24-month forecasts provided by the Company, of which the first eight months of such forecasts
are considered binding. The Company is required to purchase 100% of its requirements for Xepi from Interquim at a specified price
during the term of the Ferrer License and Supply.

The initial term of the Ferrer License
Agreement is for an initial twelve-year period following the commercial launch of Xepi and is automatically renewed thereafter
for successive one-year periods unless the Company provides notice of termination to Ferrer at least three months before the end
of then-current term. The Ferrer License Agreement is otherwise terminated in accordance with the termination provisions provided
therein.

The Ferrer License Agreement contains certain
representations, warranties, limitations of liabilities, confidentiality and indemnity obligations and other provisions customary
for an agreement of its type.

40

Item
2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

Cautionary
Notice Regarding Forward Looking Statements

This
Quarterly Report on Form 10-Q (this “Report”) contains “forward-looking statements” within the meaning
of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E