Company: FENC
Filing Date: 2025-04-25
Form Type: DEF 14A
Source: 0001558370-25-005563
Chunk: 26

Company: FENNEC PHARMACEUTICALS INC.
Filing Date: 2025-04-25
Form: DEF 14A
Chunk 26
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’s practice during the fiscal year ended December 31, 2024 of compensating its officers through a mix of base salary, short term and long term incentives was designed to mitigate risk by: (i) ensuring that the Corporation retains such officers; and (ii) aligning the interests of its officers with the short-term and long- term objectives of the Corporation and its shareholders; (iii) providing an appropriate balance of risk and reward consistent with the risk profile of the Corporation; and (iv) providing compensation that does not encourage excessive risk-taking behavior by the executive team. During the fiscal year ended December 31, 2024 the Board did not identify any risks arising from the Corporation’s compensation policies and practices that the board believed were reasonably likely to have a material adverse effect on the Corporation. 2024 Short Term Incentives For 2024, short term incentives consisted of eligibility for an annual cash bonus. The specific objectives measured in determining such short term incentive pay for Named Executive Officers related to the following:

| ​                                                      | ​ |         ​ | ​ |           ​ | ​ |
| Criteria                                               |   | Weighting |   | Achievement | ​ |
| Net revenues greater than $40 million                  | ​ |        50 | % |           0 | % |
| Stretch net revenues greater than $45 million          | ​ |         5 | % |           0 | % |
| Vial sales to 25 distinct community oncology centers   | ​ |        25 | % |          25 | % |
| Cash runway exiting 2024 of 24 months minimum          | ​ |        15 | % |          15 | % |
| Cash flow breakeven on monthly basis by September 2024 | ​ |        10 | % |           0 | % |
| TOTAL                                                  | ​ |       105 | % |          40 | % |

Every Named Executive Officer had a maximum short term incentive award cap in 2024, based on a percentage of such executive’s base salary. These caps were 50% for Mr. Raykov and Mr. Hackman, and 40% for Mr. Andrade. All payouts of earned 2024 annual bonuses to Named Executive Officers were accrued at December 31, 2024, and paid in March of 2025. 2024 Equity Awards In 2024, the Named Executive Officers were awarded equity incentives in the form of options and restricted share units (“RSU”). In August of