Company: PTPI
Filing Date: 2025-03-07
Form Type: PRE 14A
Source: 0001104659-25-021794
Chunk: 30

Company: Petros Pharmaceuticals, Inc.
Filing Date: 2025-03-07
Form: PRE 14A
Chunk 30
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 Series Warrant Shares issuable pursuant to the terms of the Series Warrants.

If the Company does not obtain
Stockholder Approval at the Special Meeting, the Company will not be able to issue to the holders of the Series Warrants the number
of shares to which they would otherwise be entitled upon full exercise of the Series Warrants, which could require the Company to
pay substantial cash amounts in lieu of delivering those shares.

Purchasers of shares of Common Stock and/or Pre-Funded Warrants exercisable
for shares of Common Stock sold in the Offering are not entitled to vote such shares of Common Stock or shares of Common Stock issuable
upon exercise of such Pre-Funded Warrants on the Issuance Proposal.

Potential Adverse Effects of Approving the Issuance Proposal

Following the Stockholder
Approval of the Issuance Proposal, existing stockholders will suffer dilution in their ownership interests in the future as a result of
the potential issuance of shares of Common Stock upon exercise of the Series Warrants. Assuming the full exercise of the Series Warrants
at the floor price of $0.0586, and assuming the Series B Warrants are exercised on an alternative cashless exercise basis, an aggregate
of approximately 1,064,846,416.38 additional shares of Common Stock will be outstanding and the ownership interest of our existing stockholders
would be correspondingly reduced.

The number of shares of Common Stock described above does not give
effect to potential additional shares underlying the Series Warrants that may be issuable after effectiveness of the Stockholder
Approval upon the adjustments of the exercise price of the Series Warrants pursuant to their terms. The sale into the public market
of these shares also could materially and adversely affect the market price of our Common Stock.

Consequences of Not Approving the Issuance Proposal

After extensive efforts to raise capital on more favorable terms, we
believed that the Offering was the only viable financing alternative available to us at the time. Unless we obtain stockholder approval
for the Issuance Proposal, we will be required to incur additional costs in order to hold additional stockholder meetings to seek such
approval as is required under the Purchase Agreement. Further, until such time as we receive the Stockholder Approval, we will not be
able to issue 20% or more of our outstanding shares of Common Stock to the Series Warrant holders in connection with the Offering. If,
despite the Company’s reasonable best efforts the Stockholder Approval is not obtained after such