Company: LBRX
Filing Date: 2025-09-08
Form Type: S-1/A
Source: 0001193125-25-197877
Chunk: 394

Company: LB PHARMACEUTICALS INC
Filing Date: 2025-09-08
Form: S-1/A
Chunk 394
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 Company recorded approximately $0.4 million and $2.2 million, respectively, in advances to the CRO, recorded in prepaid expenses in the accompanying balance sheets.

The Company enters into contracts in the normal course of business with contract development and manufacturing organizations (“CDMOs”) and other
third parties for preclinical research studies and testing and manufacturing services, which are generally cancelable upon prior written notice. Payments due upon cancellation may consist of payments for services provided or expenses incurred,
including noncancelable obligations of our service providers, up to the date of cancellation, and may also include termination penalties. As of December 31, 2024 and 2023, the Company had no outstanding liabilities related to such items.

Contingencies

In the normal course of business,
the Company is subject to loss contingencies, such as legal proceedings and claims arising out of its business. The Company records accruals for such loss contingencies when it is probable that a liability will be incurred, and the amount of loss
can be reasonably estimated. The Company, in accordance with this guidance, does not recognize gain contingencies until realized. The Company is not a party to any litigation and does not have contingency reserves established for any litigation
liabilities as of December 31, 2024.

F-36

LB Pharmaceuticals Inc

Notes to Financial Statements

14. Related-Party Transactions

In 2020, the Company entered into an oral agreement with Rivopharm S.A. (“Rivopharm”), to develop an oral dose formulation of LB-102 for use in future human clinical trials. Piero Poli, a former board member of the Company, is the Principal of Rivopharm. The agreement calls for a subsidiary of Rivopharm, Developharma S.A.
(“Developharma”), to complete this work for a cost to be paid in common stock of the Company totaling 15,367 shares.

Developharma
initiated the development work in 2021 and was approximately 50% complete as of December 31, 2022. The Company recorded research and development expense of $0.2 million for 50% of the fair value of the stock to be paid. In 2023,
Developharma completed the project. As a result of the completion, the Company issued 15,367 shares of common stock to Rivopharm and recorded additional research and development expense of $0.2 million.

In August 2023, contemporaneously with the closing of the Series C Offering, the Company