Company: PTHS
Filing Date: 2025-05-27
Form Type: DEFM14C
Source: 0001140361-25-020509
Chunk: 41

Company: Pelthos Therapeutics Inc.
Filing Date: 2025-05-27
Form: DEFM14C
Chunk 41
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 different from yours and that may influence them to support or approve the Merger without regard to your interests.

Directors and executive officers of Channel and LNHC may have interests in the Merger that are different from, or in addition to, the interests of other Channel stockholders generally. These interests with respect to Channel’s directors and executive officers may include, among others, that certain of Channel’s executives are entitled to, in connection with a qualifying termination of employment, accelerated vesting of options and restricted stock units with respect to Channel common stock and the payment of severance; that certain of Channel’s executives are entitled to the extension of the applicable executive’s post-termination exercise period with respect to their options in the event of the executive’s continued employment through the closing of the Merger; Channel’s chief executive officer, Francis Knuettel II, is expected to continue as an executive officer of the combined company after the Effective Time and that all of Channel’s directors and executive officers are entitled to certain indemnification and liability insurance coverage pursuant to the terms of the Merger Agreement. In addition, three current members of the Channel board of directors namely Todd Davis, Ezra Friedberg and Dr. Richard Malamut, are expected to continue as directors of the combined company after the Effective Time, and, following the closing of the Merger, will be eligible to be compensated as non-employee directors of the combined company pursuant to the Channel non-employee director compensation policy that is expected to remain in place following the Effective Time. These interests with respect to LNHC’s directors and executive officers may include, among others, that all but one of LNHC’s executive officers are expected to continue as executive officers of the combined company after the Effective Time; and all of LNHC’s directors and executive officers are entitled to certain indemnification and liability insurance coverage pursuant to the terms of the Merger Agreement. Todd Davis, Chairman of the Channel board of directors, is also a current member of the LNHC board of directors and is expected to continue as a director of the combined company after the Effective Time and, following the closing of the Merger, will be eligible to be compensated as a non-employee director of the combined company pursuant to the Channel non-employee director compensation policy that is expected to remain in place following the Effective Time. The directors and executive officers of Channel own options to purchase the shares of Channel common stock.

The Channel and LNHC boards of directors considered that Todd C. Davis, Chairman of the board of directors of Channel and a director of LN