Company: PTHS
Filing Date: 2025-09-16
Form Type: 8-K/A
Source: 0001753926-25-001500
Chunk: 120

Company: Pelthos Therapeutics Inc.
Filing Date: 2025-09-16
Form: 8-K/A
Chunk 120
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 the conversion of approximately
$0.1 million of principal and interest under an outstanding convertible note.

Each share of Series A Preferred Stock
is convertible into shares Common Stock, subject to certain beneficial ownership limitations, including a 49.9% cap for Ligand
and a 4.99% cap for other PIPE Investors. Immediately following the PIPE Financing, certain PIPE Investors converted 23,810 shares
of Series A Preferred Stock into an aggregate of 2,381,000 shares of Common Stock (after giving effect to the Reverse Stock Split).

The Securities Purchase Agreement also provides the PIPE Investors with customary rights, including participation
rights in future financings, anti-dilution protections, and registration rights pursuant to a Registration Rights Agreement entered
into on the Closing Date. The Company is obligated to file a resale registration statement with the SEC covering the shares of
Common Stock issuable upon conversion of the Series A Preferred Stock.

Reference is made to the disclosures regarding
recent sales of unregistered securities set forth Channel’s documents filed with the SEC under Sections 13(a), 13(c), 14
or 15(d) of the Exchange Act, which are incorporated into this Form 8-K/A by reference.

The offers and sales of the above securities
were deemed to be exempt from registration under the Securities Act in reliance upon Section 4(a)(2) of the Securities Act or Regulation
D promulgated thereunder, or Rule 701 promulgated under Section 3(b) of the Securities Act, as transactions by an issuer not involving
any public offering or pursuant to benefit plans and contracts relating to compensation as provided under Rule 701. The recipients
of the above securities represented their intentions to acquire the securities for investment only and not with a view to or for
sale in connection with any distribution thereof.

Purchases of Equity Securities by the Issuer and Affiliated Purchasers

Stock Repurchase Plan:

On August 5, 2024, the board of directors
authorized a stock repurchase plan (the “Repurchase Plan”) pursuant to which up to $250,000 of the Company’s
Common Stock may be repurchased prior to December 31, 2024, unless completed sooner or otherwise extended. We established the Repurchase
Plan on the premise that the value of the Company’s programs and prospects were not reflected in the trading price of the
Company’s Common Stock on the NYSE American and in an effort to maintain a minimum price relative to NYSE American’s
listing standards