Company: LBRX
Filing Date: 2025-09-08
Form Type: S-1/A
Source: 0001193125-25-197877
Chunk: 389

Company: LB PHARMACEUTICALS INC
Filing Date: 2025-09-08
Form: S-1/A
Chunk 389
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 |     |          | 11/10/2023 |
| December 28, 2022 |     |           |  8,431 |     |          | 11/30/2024 |
| January 26, 2023  |     |           |    725 |     |          | 11/30/2024 |
| Total 2022 Notes  |     | $         | 25,730 |     |          |            |

The interest rate was 4% per annum. All payments of interest and principal were due and payable on the maturity date, unless converted earlier. The principal due under the 2022 Notes would automatically convert into the class of the stock issued in the Company’s next qualified financing of at least $20.0 million at a conversion price equal to 80% of the per-shareprice of such securities issued. If the per-shareprice of the next qualified financing was below $2.35, the outstanding principal of the 2022 Notes would have converted at the per-shareprice paid for such securities issued. The accrued interest would either be converted into the stock issued in the qualified financing or paid to the 2022 Note investors in cash at the Company’s discretion. In the event the Company consummated a sale of the Company prior to the conversion or repayment in full of the 2022 Notes, at the closing of such sale of the Company, in lieu of the principal and interest that would otherwise be payable on the maturity date, the Company would allow each holder of the 2022 Notes to convert the principal and interest into common stock at a price per share of $2.50 up until the fifth day prior to the sale of the Company. In the event a holder made no such election within the five-daydeadline, the Company would pay such holder of the unconverted 2022 Notes an aggregate amount equal to 1.5 times the aggregate amount of principal and interest then outstanding. At inception, the Company concluded that the 2022 Notes contained a conversion option at a significant discount that was deemed to be an embedded derivative, which was required to be bifurcated and accounted for separately from the debt host. The derivative was bifurcated from the host contract and a liability and corresponding discount was recorded on the date of issuances in the total amount of $0.3 million and $7.1 million for the years ended December 31, 2023 and 2022, respectively. The liability is remeasured