Company: PTHS
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001753926-25-001764
Chunk: 43

Company: Pelthos Therapeutics Inc.
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 1
Chunk 43
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 2025 Effective Annual Discount Rate 
     16.9%

NOTE
8 – LICENSE AND OTHER AGREEMENTS

Ligand
Pharmaceuticals Inc. 

On
March 24, 2025, LNHC (i) assigned its rights to its intellectual property portfolio to Ligand (the “Assignment Agreement”);
(ii) entered into an Exclusive License and Sublicense Agreement with Ligand (the “ZELSUVMI License”), pursuant to
which Ligand licensed to LNHC the intellectual property rights necessary to make, use, sell or offer to sell ZELSUVMI for the
treatment of molluscum contagiosum in humans worldwide, except for Japan; and (iii) entered into a Master Services Agreement For
Product Supply (the “Ligand MSA”). In addition, on July 1, 2025, LNHC and Ligand entered into a Transition Services
Agreement (the “Ligand TSA”).

Ligand
Assignment Agreement

On
March 24, 2025, LNHC assigned all of its intellectual property rights, including patents, to Ligand. The Assignment Agreement
covered all assets within the NITRICIL patent portfolio and other nitric oxide releasing compounds previously held by LNHC. Historically,
Novan and LNHC, through the 363 transaction, acquired exclusive rights to intellectual property, including those that were ultimately
developed into the specific library of NITRICIL compounds, pursuant to license agreements with the University of North Carolina
at Chapel Hill (“UNC”), entered into in July 2007 and October 2009, which were subsequently amended, restated and
consolidated in June 2012 (the “UNC License Agreement”). Under the UNC License Agreement, Novan, and subsequently
LNHC, was granted an exclusive, worldwide license, with the ability to sublicense, to develop and commercialize products utilizing
the licensed intellectual property. Novan and LNHC amended the UNC License Agreement multiple times since June 2012 to both expand
the scope of licensed patents to cover additional nitric oxide technologies and to modify certain regulatory and/or commercial
milestones under the UNC License Agreement. The Assignment Agreement assigned all of these rights, patents and intellectual property
to Ligand.

As
of September 30, 2025 the last to expire patent related to ZELSUVMI originating from the UNC License Agreement, described
below, is May 2026. Prior to the Assignment Agreement, LNHC