Company: PTHS
Filing Date: 2025-05-09
Form Type: PREM14C
Source: 0001140361-25-018219
Chunk: 488

Company: Pelthos Therapeutics Inc.
Filing Date: 2025-05-09
Form: PREM14C
Chunk 488
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 capitalized or expensed under U.S. GAAP standards. Below is a disaggregation of R&D expenses:

|                                              |     | For the Year Ended 
  December 31, 2024 |     | For the Year Ended 
  December 31, 2023 |
|:---------------------------------------------|:----|-------------------:|:----|-------------------:|
| Consultant                                   |     |           $286,680 |     |            $68,900 |
| Lab Materials                                |     |              1,818 |     |                  — |
| Lab Cell Storage                             |     |             88,662 |     |             48,572 |
| Chemistry Manufacturing and Controls (“CMC”) |     |            642,304 |     |                  — |
| IP Services                                  |     |            159,972 |     |          2,461,946 |
| Total                                        |     |         $1,179,436 |     |         $2,579,418 |

F-10

TABLE OF CONTENTS

Fair Value Measurements and Fair Value of Financial Instruments The Company determines fair value based on assumptions that market participants would use in pricing an asset or liability in the principal or most advantageous market. When considering market participant assumptions in fair value measurements, the following fair value hierarchy distinguishes between observable and unobservable inputs, which are categorized in one of the following levels:

| • | Level 1 Inputs are unadjusted quoted prices in active markets for identical assets or liabilities available at the measurement date. |

| • | Level 2 Inputs are unadjusted quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, inputs other than quoted prices that are observable, and inputs derived from or corroborated by observable market data. |

| • | Level 3 Inputs are unobservable inputs which reflect the reporting entity’s own assumptions on what assumptions the market participants would use in pricing the asset or liability based on the best available information. |

The Company did not identify any assets or liabilities that are required to be presented on the balance sheets at fair value in accordance with ASC Topic 820. Due to the short-term nature of all financial assets and liabilities, their carrying value approximates their fair value as of the balance sheet dates. Stock-Based Compensation The Company accounts for stock-based compensation costs under the provisions of ASC 718, Compensation-Stock Compensation (“ASC 718”), which requires the measurement and recognition of compensation expense related to the fair value