Company: FENC
Filing Date: 2025-04-25
Form Type: DEF 14A
Source: 0001558370-25-005563
Chunk: 17

Company: FENNEC PHARMACEUTICALS INC.
Filing Date: 2025-04-25
Form: DEF 14A
Chunk 17
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 this Circular pursuant to Item 402 of Regulation S-K, including the “Compensation Discussion and Analysis”, the compensation tables and narrative discussion be, and hereby is, APPROVED.

The Board unanimously recommends that Shareholders vote FOR the Advisory Executive Compensation Resolution. The persons named in the enclosed form of proxy will vote FOR the Advisory Executive Compensation Resolution, unless a Shareholder has specified in the proxy that his or her Common Shares are to be withheld from voting in respect thereof.

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SPECIAL MATTERS Amendments to Equity Incentive Plan Fennec’s 2020 Equity Incentive Plan (the “ Equity Incentive Plan”) is designed to align the interests of participants with those of shareholders by offering performance-based compensation linked to the long-term value of Fennec common shares. The total number of common shares that may be the subject of awards and issued under the Equity Incentive Plan, together our prior stock option plan which was last approved by our shareholders on June 19, 2019 (the “ Prior Plan”), is twenty-five percent (25%) of the total number of all issued and outstanding common shares from time to time, which maximum amount as of April 7, 2025 was 6,899,484 common shares. As of April 7, 2025:

| • | 3,009,574 common shares have been issued pursuant to the exercise of stock options under the Equity Incentive Plan, and 379,681 common shares have been issued in connection with the vesting of RSUs awarded under the Equity Incentive Plan. |

| • | 5,857,036 stock options and 585,278 RSUs are outstanding. |

| • | 457,170 common shares are available for issuance pursuant to the exercise of any option grants or issuance pursuant to other awards under the Equity Incentive Plan. |

Further information on the Corporation’s Equity Incentive Plan can be found on pages 25 to 31 of this circular, including, for the most recent fiscal year, details on the burn rate, overhang and dilution measures. Based on the limited number of common shares available for issuance pursuant to the exercise of any future stock option grants or pursuant to any other equity awards under the Equity Incentive Plan, the burn rate, and the Corporation’s practices for granting stock options and other equity awards, it is proposed that the number of common shares available for issuance be increased to 8,500,000 common shares.