Company: PTHS
Filing Date: 2025-05-27
Form Type: DEFM14C
Source: 0001140361-25-020509
Chunk: 248

Company: Pelthos Therapeutics Inc.
Filing Date: 2025-05-27
Form: DEFM14C
Chunk 248
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, withdraw or modify, or publicly propose to withhold, withdraw or modify, the approval or recommendation of the LNHC board of directors with respect to the Merger; |

| • | fail to recommend against acceptance of a tender offer within ten business days after commencement; or |

| • | propose publicly to approve, endorse, adopt or recommend, or approve, endorse, adopt, or recommend any Acquisition Proposal. |

However, notwithstanding the foregoing or anything to the contrary set forth in the Merger Agreement, at any time prior to the approval of the Merger by the necessary consent of Ligand, with respect to a Superior Proposal, the LNHC board of directors may make a LNHC board of directors recommendation change if, but only if:

| • | the LNHC board of directors determines in good faith, after consultation with outside legal counsel, that the failure to make an LNHC board of directors recommendation change would reasonably be expected to be inconsistent with its fiduciary duties under applicable law; |

| • | LNHC has provided at least four business days’ prior written notice to Channel that it intends to effect a LNHC board of directors recommendation change and written copies of any relevant proposed transactions agreements with any party making a potential Superior Proposal, including the identity of the person making such Superior Proposal; |

| • | LNHC has complied in all material respects with the non-solicitation provisions of the Merger Agreement in connection with any potential Superior Proposal; |

| • | LNHC has, and has caused its financial advisors and outside legal counsel to, during the applicable four business days period, negotiate with Channel in good faith to make such adjustments to the terms and conditions of the Merger Agreement so that such Acquisition Proposal cases to constitute a Superior Proposal (to the extent Channel desires to negotiate); and |

| • | if after Channel has delivered to LNHC a written, binding and irrevocable offer to alter the terms or conditions of the Merger Agreement during the applicable four business day notice period, the LNHC board of directors has determined in good faith, after consultation with outside legal counsel and after considering the terms of such offer by Channel, that the failure to effect a LNHC board of directors recommendation change would reasonably be expected to be inconsistent with its fiduciary duties under applicable law. |

Written Consent of Channel Stockholders and Written Consent of Ligand Channel is obligated under the Merger Agreement, in lieu of calling a meeting of the holders of Channel common stock for the purpose of considering and voting to approve the Merger, to