Company: PTHS
Filing Date: 2025-05-09
Form Type: PREM14C
Source: 0001140361-25-018219
Chunk: 282

Company: Pelthos Therapeutics Inc.
Filing Date: 2025-05-09
Form: PREM14C
Chunk 282
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 be unrelated to the number of shares outstanding, including Channel’s future

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TABLE OF CONTENTS

performance. If the Reverse Stock Split is consummated and the trading price of Channel common stock declines, the percentage decline as an absolute number and as a percentage of Channel’s overall market capitalization may be greater than would occur in the absence of the Reverse Stock Split. Even if the market price per post-Reverse Stock Split share of Channel common stock remains in excess of $1.00 per share, Channel may be delisted due to a failure to meet other continued listing requirements, including The NYSE American requirements related to the minimum stockholders’ equity, the minimum number of shares that must be in the public float, the minimum market value of the public float and the minimum number of public shareholders excluding shares held directly or indirectly by any officer, director, controlling shareholder or other concentrated (i.e., 10 percent or greater) affiliated or family holdings. The Reverse Stock Split may decrease the liquidity of Channel common stock. The liquidity of Channel common stock may be harmed by the Reverse Stock Split given the reduced number of shares of Channel common stock that would be outstanding after the Reverse Stock Split, particularly if the stock price does not increase as a result of the Reverse Stock Split. In addition, investors might consider the increased proportion of unissued authorized shares of Channel common stock to issued shares to have an anti-takeover effect under certain circumstances, because the proportion allows for dilutive issuances which could prevent certain stockholders from changing the composition of the Channel board of directors or render tender offers for a combination with another entity more difficult to successfully complete. The Channel board of directors does not intend for the Reverse Stock Split to have any anti-takeover effects. Principal Effects of the Reverse Stock Split Channel common stock . If the Reverse Stock Split is implemented, subject to the conditions set out in this information statement, Channel will file a certificate of amendment to the articles of incorporation with the Secretary of State of the State of Nevada. Except for adjustments that may result from the treatment of fractional shares as described below, the issued and outstanding shares of Channel common stock immediately prior to the Reverse Stock Split Effective Date will automatically be converted, as of the Reverse Stock Split Effective Date, into a lesser number of shares of Channel common stock based on the exchange ratio within the approved range determined by the Channel board of directors. In addition, proportional adjustments will be made to the maximum number of shares of Channel common stock issuable under, and other