Company: PTHS
Filing Date: 2025-05-13
Form Type: 10-Q
Source: 0001753926-25-000790
Chunk: 39

Company: Pelthos Therapeutics Inc.
Filing Date: 2025-05-13
Form: 10-Q
Item: Part I, Item 1
Chunk 39
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 when patients are experiencing nausea. Under the terms of the Benuvia License Agreement, Benuvia will be responsible for
the manufacturing and supply of the Spray Formulations, but we will have exclusive, worldwide rights to develop, commercialize
and distribute the Spray Formulations.

We
currently do not have strategy and development plans for the Spray Formulations licensed from Benuvia. 

Background

Channel
Therapeutics Corporation (“Channel” or the “Company”) was incorporated in Delaware on March 19, 2021.
On November 18, 2024 (“Reincorporation Merger Effective Date”), Chromocell Therapeutics Corporation, a Delaware corporation
(the “Predecessor”), merged with and into its wholly-owned subsidiary, Channel Therapeutics Corporation, a Nevada
corporation (the “Reincorporation Merger”), pursuant to an agreement and plan of merger, dated as of November 18,
2024 (the “Reincorporation Merger Agreement”). All information disclosed in this Form 10-Q for periods prior to the
Reincorporation Merger Effective Date relates to the Predecessor, and all information disclosed in this Form 10-Q for periods
after the Reincorporation Merger Effective Date relates to Channel Therapeutics Corporation, a Nevada corporation.

On
August 10, 2022, we entered into the Contribution Agreement with Chromocell Holdings.
Pursuant to the Contribution Agreement, as of the Contribution Date, we acquired from Chromocell Holdings all assets, liabilities
and results of operations related to Chromocell Holdings’ therapeutic business, including all patents, pre-clinical and
Phase I study results and data, and trade secrets related to the CC8464 compound, in exchange for the issuance by us of 1,111,112
shares of our common stock, par value $0.0001 per share (“Common Stock”)
and (ii) 600,000 shares of Series A Convertible Preferred Stock (“Series
A Preferred Stock”).

On
August 2, 2023, we entered into a Side Letter to the Contribution Agreement with Chromocell Holdings (the “Holdings Side
Letter”). Pursuant to the Holdings Side Letter, upon closing of our initial public offering (“IPO”): (a) Chromocell
Holdings re-assumed all $1.6 million in direct liabilities previously assumed by the Company in accordance with the Contribution
Agreement, (b)