Company: PTHS
Filing Date: 2025-05-27
Form Type: DEFM14C
Source: 0001140361-25-020509
Chunk: 50

Company: Pelthos Therapeutics Inc.
Filing Date: 2025-05-27
Form: DEFM14C
Chunk 50
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 compounds; |

| • | establishes a business development operation to in its out-license certain assets; |

| • | establishes a sales, marketing and distribution infrastructure to commercialize any compound for which it may obtain marketing approval; |

| • | develops, maintains, expands, protects and enforces its intellectual property rights portfolio; and/or |

| • | acquires or in-license other compounds and technologies. |

To become and remain profitable, Channel must develop and eventually commercialize one or more compounds with significant market potential. This will require Channel to be successful in a range of challenging activities, including completing the clinical trials, developing and validating commercial scale manufacturing processes, obtaining marketing approval for its compounds, manufacturing, and marketing. Licensing and selling any future compounds for which Channel may obtain marketing approval and satisfying any post-marketing requirements. If Channel was required to discontinue development of CC8464, CT2000 or CT3000, if CC8464, CT2000 or CT3000 does not receive regulatory approval, if it does not obtain its targeted indication(s) for CC8464, CT2000 or CT3000, or if CC8464, CT2000 pr CT3000 fails to achieve sufficient market acceptance for any indication, Channel could be delayed by many years in its ability to achieve profitability. Channel’s failure to become and remain profitable would decrease the value of its company and could impair its ability to raise capital, maintain our research and development efforts, expand its business or continue its operations. A decline in the value of Channel also could cause you to lose all or part of your investment. Channel’s business could be adversely impacted if there are deficiencies in its disclosure controls and procedures or its internal control over financial reporting. The design and effectiveness of Channel’s disclosure controls and procedures and its internal control over financial reporting may not prevent all errors, misstatements or misrepresentations. There can be no guarantee that its disclosure controls and procedures and internal control over financial reporting will be effective in accomplishing all control objectives all of the time. Deficiencies, including any material weaknesses, in its disclosure controls and procedures or internal control over financial reporting could result in misstatements of its results of operations or its consolidated financial statements or could otherwise materially and adversely affect its business, reputation, results of operations, financial condition or liquidity. Channel has identified material weaknesses in its internal control over financial reporting. Prior to the IPO, Channel was a private company and had limited accounting and financial reporting personnel and other resources with which to address its internal controls and related procedures. In connection