Company: PTHS
Filing Date: 2025-05-09
Form Type: PREM14C
Source: 0001140361-25-018219
Chunk: 541

Company: Pelthos Therapeutics Inc.
Filing Date: 2025-05-09
Form: PREM14C
Chunk 541
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31 |     | January 1 to 
 September 27 |
| Payroll and related expenses                      |     |       $2,214 |     |            $402 |     |       $1,737 |
| Share-based compensation                          |     |        3,915 |     |           1,013 |     |        1,928 |
| Other non-employee related corporate expenses     |     |          888 |     |             183 |     |          784 |
| Total corporate expenses allocated to the Company |     |       $7,017 |     |          $1,598 |     |       $4,449 |

LNHC participates in Ligand's centralized cash management and financing programs and will continue to participate in Ligand's centralized cash management until it becomes an independent company. While most of vendors disbursements are made directly by LNHC, all Company's obligations are financed by Ligand and financing decisions are determined by central Ligand treasury operations. Certain Company's expenses are settled directly by Ligand, including personnel-related expenses. Note 11: Stock Based Compensation Successor Plan LNHC does not have its own equity-based incentive plans, and employees of LNHC do not participate in Parent’s equity-based incentive plans. However, a portion of certain Parent corporate employees' share-based compensation expenses was allocated to LNHC based on their involvement in LNHC operations. Under the Ligand 2002 Stock Incentive Plan (2002 Plan), Parent employees were awarded share-based incentive awards in a number of forms, including non-statutory stock options, incentive stock options, restricted stock units (RSUs), performance stock units (PSUs) and other cash-based or share-based awards. Awards granted to Parent employees under the incentive plans typically vest 1/8 on the six month anniversary of the date of grant, and 1/48 each month thereafter for forty-two months. Successor's share-based compensation expense is recognized based on the fair value on a straight-line basis over the requisite service periods of the awards, taking into consideration of forfeitures as they occur. Predecessor Plan Certain Predecessor employees participated in Novan's equity-based incentive plans. For the period from January 1, 2023 to September 27, 2023, Novan continued to administer and grant awards under the 2016 Incentive Award Plan, as amended (the “2016 Plan”), Novan’s only active equity incentive plan. The 2016 Plan provides for the grant of the