Company: PTHS
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001753926-25-001326
Chunk: 33

Company: Pelthos Therapeutics Inc.
Filing Date: 2025-08-13
Form: 10-Q
Item: Part I, Item 1
Chunk 33
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 Agreement, the Company contributed to Pharmaceutical
Sub certain assets associated with non-opioid, non-addictive therapeutics to alleviate pain, and owns certain patents and “Know
How” (as defined in the Contribution Agreement) and other technology relating to the sodium ion-channel known as NaV1.7
for the treatment of various types of systemic chronic pain, acute and chronic eye pain and post-surgical nerve blocks (collectively,
the “Intellectual Property Rights”) and certain other assets related thereto (collectively, the “Transferred
Assets”).

Pharmaceutical
Sub accepted the Transferred Assets as of the Contribution Date. In exchange for the Transferred Assets, Pharmaceutical Sub issued
to the Company 100 shares of Pharmaceutical Sub’s common stock. After the above contribution, Pharmaceutical Sub may engage
in licensing, developing and commercializing the Intellectual Property Rights.

In
connection with the Contribution Agreement, on July 1, 2025, the Company, as assignor, entered into an Intellectual Property Assignment
and Assumption Agreement (the “IP Assignment and Assumption Agreement”) with Pharmaceutical Sub, as assignee, pursuant
to which the Company irrevocably conveyed, transferred and assigned of the Company’s interests in, to and under the Intellectual
Property Rights, including without limitation, the specific intellectual property rights and Know How set forth in the Contribution
Agreement, together with any and all goodwill associated with such intellectual property rights (collectively, the “Assigned
IP”). Pharmaceutical Sub accepted the conveyance, transfer and assignment of the Assigned IP as of the Contribution Date.

Royalty
Agreements

As
an inducement to enter into the Securities Purchase Agreement, the Company and LNHC, as Seller Parties, and Nomis RoyaltyVest
LLC (“NRV”) entered into a Purchase and Sale Agreement, dated as of July 1, 2025 (the “ZELSUVMI Royalty Agreement”),
pursuant to which the Company and LNHC sold to NRV, and NRV purchased, all of the Company’s and LNHC’s rights, title
and interest in and to a portion of the Company’s and LNHC’s revenue payments for ZELSUVMI and all accounts with respect
thereto. In addition, prior to the expiration of the Initial Royalty Term (as defined in the ZELSUVMI Royalty Agreement), NRV
will receive a 1.5% royalty on net sales of ZELSUVMI worldwide, other