Company: PTHS
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001753926-25-000503
Chunk: 2415

Company: Pelthos Therapeutics Inc.
Filing Date: 2025-03-27
Form: 10-K
Item: Item 8
Chunk 2415
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 be fully exercised prior to expiration or other termination shall again become
available for grant under the terms of the 2023 Plan.

Administration.
Our board of directors currently administers the 2023 Plan. The compensation committee of our board of directors administers the
2023 Plan. The administrator has complete discretion to make all decisions relating to the 2023 Plan and outstanding awards.

Eligibility.
Key employees, non-employee members of our board of directors and other persons who render services of special importance
to our management, operation or development are eligible to participate in the 2023 Plan.

Types
of Awards. The 2023 Plan provides for the following types of awards granted with respect to shares of our Common Stock:

    ●
    incentive and nonqualified
    stock options to purchase shares of our Common Stock;

    ●
    stock appreciation
    rights, whether settled in cash or our Common Stock;

    ●
    direct awards or
    sales of shares of our Common Stock, with or without restrictions; and

    ●
    restricted stock
    units.

The
recipient of an award under the 2023 Plan is referred to as a participant.

Options.
The administrator may grant incentive stock options (“ISOs”) and nonqualified stock options (“NSOs”) under
the 2023 Plan. The administrator determines the number of shares of our Common Stock subject to each option, its exercise price,
its duration and the manner and time of exercise; provided, however, that no option may be issued under the 2023 Plan with an
exercise price that is less than the fair market value of our Common Stock as of the date the option is granted, and no option
issued as an ISO will have a duration that exceeds ten years. ISOs may be issued only to our employees or employees of our corporate
subsidiaries, and in the case of a more than ten percent stockholder, must have an exercise price that is at least 110% of the
fair market value of our Common Stock as of the date the option is granted, and may not have a duration of more than five years.

The
administrator, in its discretion, may provide that any option is subject to vesting limitations that make it exercisable during
its entire duration or during any lesser period of time.

The
exercise price of an option may be paid in cash, by delivery of a recourse promissory note secured by the Common Stock acquired
upon exercise of the option (except that such a loan would