Company: PTHS
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001753926-25-001764
Chunk: 64

Company: Pelthos Therapeutics Inc.
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 1
Chunk 64
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the “Assignment Agreement Amendment”), pursuant to which Ligand agreed
to pay the Company (i) 75% of the milestone payment received by Ligand from Sato in respect of the first commercial sale of the
“Licensed Product” (as defined in Amended Sato Agreement) in Japan; and (ii) fifty percent (50%) of any other amounts
received by Ligand from Sato under the Amended Sato Agreement solely in respect of the “Licensed Product” (and, for
the avoidance of doubt, no other product covered by the Amended Sato Agreement) in the “Licensed Field” (in each case,
as defined in the Amended Sato Agreement), less any out-of-pocket costs incurred by Ligand to effectuate its rights, obligations
and responsibilities under the Amended Sato Agreement.

Xepi Transactions

Asset Purchase Agreement

On November 6, 2025, the Company entered
into an Asset Purchase Agreement (the “Asset Purchase Agreement”) with Biofrontera Inc., a Delaware corporation (“Biofrontera”),
pursuant to which Biofrontera sold all of its right, title and interest in (i) Xepi, (ii) all of the assets of Biofrontera pertaining
to the manufacture, sale and distribution of Xepi, (iii) all intellectual property of Biofrontera relating to Xepi, including,
without limitation (A) certain patent and patent applications, including all specifically associated goodwill and (B) trademarks
and trademark applications, including all specifically associated goodwill (iv) all preclinical data, records and reports relating
to Xepi; (v) certain contracts related to Xepi; (vi) all of the licenses and agreements to which Seller is a party pertaining to
the manufacture, sale and distribution of Xepi; and (vii) to the extent transferable in accordance with applicable laws, all regulatory
filing related to Xepi (collectively, the “Acquired Assets”). The transactions contemplated by the Purchase Agreement
were consummated on the Convertible Note Financing Closing Date.

The aggregate purchase price payable by
the Company to Biofrontera for the Acquired Assets will not exceed $10,000 and will consist of (i) a cash payment of $3,000; (ii)
a cash payment of $1,000 following the availability of certain commercial quantities of Xepi, subject to certain conditions; and
(iii)