Document:

EX-10.7

 Exhibit 10.7 

THESEUS PHARMACEUTICALS, INC. 

INCENTIVE BONUS PLAN 

 

	 	ARTICLE 1.	 BACKGROUND AND PURPOSE 

1.1 Effective Date. This Plan became effective upon its adoption by the Board and is not subject to approval by the Company’s
stockholders. 
 1.2 Purpose of the Plan. The Plan is intended to provide Participants with the possibility of earning incentive
bonuses. 
  

	 	ARTICLE 2.	 DEFINITIONS 

The following words and phrases shall have the following meanings, unless a different meaning is plainly required by the context: 

2.1 “Actual Award” means, as to any Performance Period, the actual award amount (if any) payable to a Participant for the
Performance Period. Subject to Sections 3.6 and 3.7, each Actual Award is determined by the Payout Formula for the Performance Period, subject to the Administrator’s authority under Section 3.6 to increase, eliminate or reduce the award
otherwise indicated by the Payout Formula. 
 2.2 “Administrator” means the Board, Committee or such other entity, group, or
individual delegated authority to administer the Plan in accordance with Section 5.1 of the Plan. 
 2.3 “Affiliate”
means any corporation or other entity (including, without limitation, partnerships and joint ventures) controlled by the Company. 
 2.4
“Base Salary” means, as to any Performance Period, the Participant’s regular base salary as in effect at the end of the Performance Period. Base Salary shall be calculated before both (a) deductions for taxes or benefits
and (b) any deferrals of compensation pursuant to Company-sponsored plans or Affiliate-sponsored plans. 
 2.5 “Board”
means the Company’s Board of Directors. 
 2.6 “Committee” means the Compensation Committee of the Board. 

2.7 “Company” means Theseus Pharmaceuticals, Inc., a Delaware corporation. 

2.8 “Employee” means any employee of the Company or an Affiliate, whether such employee is so employed when the Plan is
adopted or becomes so employed after the adoption of the Plan. 
 2.9 “Fiscal Year” means the fiscal year of the Company.

 2.10 “Participant” means, as to any Performance Period, an Employee who has
been selected for participation in the Plan for that Performance Period pursuant to Section 3.1. 
 2.11 “Payout
Formula” means, as to any Performance Period, the formula or payout matrix established by the Administrator pursuant to Section 3.5 in order to determine the Actual Awards (if any) to be paid to Participants. The formula or matrix may
differ from Performance Period to Performance Period and from Participant to Participant. 
 2.12 “Performance Period” means
a Fiscal Year, or any longer or shorter period determined by the Administrator. 
 2.13 “Performance Goals” means the
goal(s) or combined goal(s) determined by the Administrator to be applicable to a Participant for a Target Award for a Performance Period. Possible performance measures that might be used as a Performance Goal are set forth in Section 3.3
below. A Performance Goal may be established and measured either on a Company-wide basis or with respect to one or more business units, divisions, Affiliates, business segments or an individual, and either in absolute terms or relative to the
performance of one or more comparable companies or one or more relevant indices. The Administrator may adjust the results under any Performance Goal to exclude any of the following events that occurs during a Performance Period: (a) asset
write-downs, (b) litigation, claims, judgments or settlements, (c) the effect of changes in tax laws, accounting principles or other laws or provisions affecting reported results, (d) accruals for reorganization and restructuring
programs, (e) extraordinary, unusual or non-recurring items, (f) exchange rate effects for non-U.S. dollar denominated net sales and operating earnings, or
(g) statutory adjustments to corporate tax rates. 
 2.14 “Plan” means this Theseus Pharmaceuticals, Inc. Incentive
Bonus Plan. 
 2.15 “Shares” means shares of the Company’s common stock. 

2.16 “Target Award” means the target award amount payable under the Plan to a Participant for the Performance Period expressed
as a percentage of his or her Base Salary or a specific dollar amount or by reference to a number of Shares, as determined by the Administrator in accordance with Section 3.4. 

2.17 “Termination of Employment” means a cessation of the employee-employer relationship between an Employee and the Company
or an Affiliate for any reason, including (without limitation) a termination by resignation, discharge, death, disability, retirement or the disaffiliation of an Affiliate, but excluding a transfer from the Company to an Affiliate or between
Affiliates. 
  

	 	ARTICLE 3.	 SELECTION OF PARTICIPANTS AND DETERMINATION OF AWARDS 

3.1 Selection of Participants. The Administrator, in its sole discretion, shall select the Employees who shall be Participants for any
Performance Period. Participation in the Plan is in the sole discretion of the Administrator and shall be determined Performance Period by Performance Period. Accordingly, an Employee who is a Participant for a given Performance Period is in no way
assured of being selected for participation in any subsequent Performance Period. 

  
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 3.2 Determination of Performance Period. The Administrator, in its sole discretion,
shall establish whether a Performance Period shall be a Fiscal Year or such longer or shorter period of time. The Performance Period may differ from Participant to Participant and from award to award. 

3.3 Determination of Performance Goals. The Administrator shall establish the Performance Goals for each Participant for the Performance
Period, and the Administrator (or its designee) shall communicate the applicable Performance Goals to each Participant. The Performance Goals may differ from Participant to Participant and from award to award. In addition to such other objectives as
may be established from time to time by the Administrator in its sole discretion, the following performance objectives may be used as the basis of a Performance Goal: earnings (before or after taxes); earnings per share; earnings before interest,
taxes and depreciation; earnings before interest, taxes, depreciation and amortization; total stockholder return; return on equity or average stockholders’ equity; return on assets, investment or capital employed; operating income; gross
margin; operating margin; net operating income; net operating income after tax; return on operating revenue; sales or revenue; expense or cost reduction; working capital; economic value added (or an equivalent metric); market share; cash flow or
cash balance; operating cash flow; cash flow per share; share price; debt reduction; customer satisfaction; stockholders’ equity; employee survey results; development and launch of new products; individual or departmental performance goals; and
other measures of performance selected by the Administrator from time to time. 
 3.4 Determination of Target Awards. The
Administrator shall establish a Target Award for each Participant for each Performance Period, and the Administrator (or its designee) shall communicate the applicable Target Award to each Participant. 

3.5 Determination of Payout Formula or Formulae. The Administrator will establish a Payout Formula or Formulae for purposes of
determining the Actual Award (if any) payable to each Participant. Each Payout Formula may (a) be based on a comparison of actual performance to the Performance Goals, (b) provide for the payment of a Participant’s Target Award if the
Performance Goals for the Performance Period are achieved at the predetermined level and (c) provide for the payment of an Actual Award greater than or less than the Participant’s Target Award, depending upon the extent to which actual
performance exceeds or falls below the Performance Goals, subject to Section 3.7. 
 3.6 Determination of Actual Awards. The
Administrator will determine the extent to which the Performance Goals applicable to each Participant for the Performance Period were achieved or exceeded. The Actual Award for each Participant will be determined by applying the Payout Formula to
the level of actual performance that has been determined by the Administrator; provided that notwithstanding anything to the contrary in this Plan, the Administrator may (a) reduce or eliminate the Actual Award that otherwise would be payable
under the Payout Formula; (b) subject to Section 3.7, increase the Actual Award; or (c) determine whether or not any Participant will receive an Actual Award in the event that the Participant incurs a Termination of Employment before
such Actual Award is to be paid pursuant 

  
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to Section 4.2. If a Participant’s Actual Award is reduced or eliminated, no other Participant’s Actual Award shall be increased as a result. The Administrator has the absolute
discretion to reduce or eliminate payment of an Actual Award if in the Administrator’s judgment corporate performance, financial condition, individual performance, general economic conditions, or other similar factors make such reduction or
elimination appropriate. 
 3.7 Maximum Actual Awards. The Administrator may establish the maximum amount or value of the Actual Award
paid to any Participant for any Performance Period. 
  

	 	ARTICLE 4.	 PAYMENT OF AWARDS 

4.1 Right to Receive Payment. A Participant shall have no right to receive an Actual Award unless the Participant is employed by the
Company or an Affiliate on the date of payment, unless otherwise determined by the Administrator. 
 4.2 Unfunded Plan. Each Actual
Award that may become payable under the Plan shall be paid solely from the general assets of the Company or the Affiliate that employs the Participant (as the case may be), as determined by the Company. No amounts awarded or accrued under the Plan
shall be funded, set aside or otherwise segregated prior to payment. The obligation to pay Actual Awards under the Plan shall at all times be an unfunded and unsecured obligation of the Company. Participants shall have the status of general
creditors of the Company or the Affiliate that employs the Participant. 
 4.3 Timing of Payment. Subject to Section 4.6, payment
of each Actual Award shall be made as soon as administratively practicable after vesting, but in any event no later than required to ensure that that no amount paid or to be paid hereunder shall be subject to the provisions of
Section 409A(a)(1)(B) of the Code. 
 4.4 Form of Payment. Each Actual Award shall be paid in cash (or its equivalent) or in
Share-based awards (or a combination thereof) in a single lump sum, except as otherwise determined by the Administrator. To the extent an Actual Award is paid in whole or in part in the form of Share-based award, such awards shall be granted under
an equity incentive plan maintained by the Company for the payment or awarding of Shares. 
 4.5 Payment in the Event of Death. If a
Participant dies before receiving an Actual Award that was scheduled to be paid before his or her death for a prior Performance Period, then the Actual Award shall be paid to the Participant’s designated beneficiary or, if no beneficiary has
been designated, to the administrator or representative of his or her estate, subject to applicable law. Any beneficiary designation or revocation of a prior designation shall be effective only if it is in writing, signed by the Participant and
received by the Company prior to the Participant’s death, subject to applicable law. 
 4.6 Recoupment Policy. All awards granted
under the Plan shall be subject to any Company recoupment or clawback policy, as in effect from time to time, including any required by Section 954 of the Dodd-Frank Wall Street Reform and Consumer Protection Act. 

  
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	 	ARTICLE 5.	 ADMINISTRATION 

5.1 Administrator Authority. The Plan shall be administered by the Administrator, subject to Section 5.3, and with respect to any
Company executive officer the Committee shall act as Administrator. The Administrator shall have all powers and discretion necessary or appropriate to administer the Plan and to control its operation, including (without limitation) the power to
(a) determine which Employees shall be granted awards, (b) prescribe the terms and conditions of the awards, (c) interpret the Plan, (d) adopt such procedures and sub-plans as are necessary
or appropriate, (e) adopt rules for the administration, interpretation and application of the Plan and (f) interpret, amend or revoke any such rules. 

5.2 Decisions Binding. All determinations and decisions made by the Administrator, the Board or any delegate of the Administrator
pursuant to the provisions of the Plan shall be final, conclusive and binding on all persons and shall be given the maximum deference permitted by law. 

5.3 Delegation by the Administrator. The Administrator, on such terms and conditions as it may provide, may delegate all or part of its
authority and powers under the Plan to one or more directors and/or employees of the Company, except that the Committee may not delegate its authority and powers under the Plan with respect to Company executive officers. 

 

	 	ARTICLE 6.	 GENERAL PROVISIONS 

6.1 Tax Withholding. The Company or an Affiliate, as applicable, shall withhold all required taxes from an Actual Award, including any
federal, state, local or other taxes. 
 6.2 Application of Section 409A. The provisions of this Plan are intended
to be exempt from the requirements of Section 409A of the Code so that none of the payments to be provided under this Plan will be subject to the additional tax imposed under Section 409A of the Code, and any ambiguities herein will be
interpreted to be so exempt. In no event will the Administrator reimburse Participants for any taxes that may be imposed as result of Section 409A of the Code. 

6.3 No Effect on Employment. Neither the Plan nor any Target Award shall confer upon a Participant any right with respect to continuing
the Participant’s employment with the Company or an Affiliate. Nothing in the Plan shall interfere with or limit in any way the right of the Company or an Affiliate, as applicable, to terminate any Participant’s employment or service at
any time, with or without cause. The Company and its Affiliates expressly reserve the right, which may be exercised at any time and without regard to when during or after a Performance Period such exercise occurs, to terminate any individual’s
employment with or without cause, and to treat him or her without regard to the effect that such treatment might have upon him or her as a Participant. 

  
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 6.4 Participation; No Effect on Other Benefits. No Employee shall have the right to
be selected to receive an award under the Plan, or, having been so selected, to be selected to receive a future award. Except as expressly set forth in a Participant’s individual employment agreement (if any) with the Company or an Affiliate,
any Actual Awards under the Plan shall not be considered for the purpose of calculating any other benefits to which such Participant may be entitled, including (a) any termination, severance, redundancy or end-of-service payments, (b) other bonuses or long-service awards, (c) overtime premiums, (d) pension or retirement benefits or (e) future Base Salary or any other payment to be made by
the Company to such Participant. All Participants expressly acknowledge that there is no obligation on the part of the Company to continue the Plan. Any Actual Awards granted under the Plan are not intended to be compensation of a continuing or
recurring nature, or part of a Participant’s normal or expected compensation, 
 6.5 Successors. All obligations of the Company
and any Affiliate under the Plan, with respect to awards granted hereunder, shall be binding on any successor to the Company and/or such Affiliate, whether the existence of such successor is the result of a merger, consolidation, direct or indirect
purchase of all or substantially all of the business or assets of the Company or such Affiliate, or any similar transaction. 
 6.6
Nontransferability of Awards. No award granted under the Plan shall be sold, transferred, pledged, assigned or otherwise alienated or hypothecated, other than by will, by the laws of descent and distribution or to the limited extent provided
in Section 4.5. All rights with respect to an award granted to a Participant shall be available during his or her lifetime only to the Participant. 
  

	 	ARTICLE 7.	 DURATION, AMENDMENT AND TERMINATION 

7.1 Duration of the Plan. The Plan shall remain in effect until terminated pursuant to Section 7.2. 

7.2 Amendment, Suspension or Termination. The Board or the Administrator may amend, suspend or terminate the Plan, or any part thereof,
at any time and for any reason. No award may be granted during any period of suspension or after termination of the Plan. 
  

	 	ARTICLE 8.	 LEGAL CONSTRUCTION 

8.1 Severability. In the event any provision of the Plan shall be held illegal or invalid for any reason, the illegality or invalidity
shall not affect the remaining parts of the Plan, and the Plan shall be construed and enforced as if the illegal or invalid provision had not been included. 

8.2 Requirements of Law. The granting of awards under the Plan shall be subject to all applicable laws, rules and regulations, and to
such approvals by any governmental agencies or national securities markets as may be required. 
 8.3 Captions. Captions are provided
herein for convenience only and shall not serve as a basis for interpretation or construction of the Plan. 
 8.4. Governing
Law. The Plan shall be governed by, and construed in accordance with, the laws of the State of Delaware (except its choice-of-law provisions). 

  
 6EX-10.8

 Exhibit 10.8 

Theseus Pharmaceuticals, Inc. 

September 10, 2021 
 Tim Clackson 

[***] 
 Dear Tim: 

Theseus Pharmaceuticals, Inc. (the “Company”), is pleased to offer you continued employment on the following terms: 

1. Position. Your title will be President and Chief Executive Officer, and you will report to the Company’s board of directors (the
“Board”). This is a full-time position. You will also be nominated to continue to serve as a member of the Board, subject to the approval of the Company’s stockholders. You will undertake to perform, to the best of your ability, the
work related to the Company’s business that is reasonably assigned to you by or on behalf of the Company. You will act in accordance with the instructions to be given to you by or on behalf of the Company, unless you believe that they do not
comport with the law or applicable regulations. While you render services to the Company, you will not engage in any other employment, consulting or other business activity (whether full-time or part-time) that would create a conflict of interest
with the Company. By signing this letter agreement, you confirm to the Company that you have no contractual commitments or other legal obligations that would prohibit you from performing your duties for the Company. The Company acknowledges that
your former employer, Xilio Therapeutics, Inc. (“Xilio”), has requested that you provide certain advisory services limited to transitional and historical questions related to your prior role at Xilio (the “Transitional Advisory
Services”). The Company agrees that you may provide such Transitional Advisory Services to Xilio for a period of up to 6 months following your departure date from Xilio, provided that weekly time spent on Transitional Advisory Services will be
limited and will not interfere in any way with your role at the Company. The Company further agrees that you may continue your current board roles at Forma Therapeutics, Inc., Elevation Oncology and Massachusetts Biotechnology Council, subject to
evaluations (and potentially future evaluations) of any conflicts of interest. The Company requests that you not accept any additional for-profit board roles without the prior written consent of the Board.

 2. Workplace Location. You are expected to conduct a significant portion of your work for the Company at its offices in Cambridge,
MA, as well as from time to time elsewhere, in accordance with the nature and needs of the work as deemed necessary by the Board. 
 3.
Cash Compensation. The Company will pay you an initial base salary at the rate of $540,000 per year, payable in accordance with the Company’s standard payroll schedule and subject to standard withholdings. This position is considered an
exempt position for purposes of federal wage and hour laws. You will be eligible for an annual performance bonus of 55% of your annual base salary, pro-rated for your days of service in the applicable fiscal
year if you commenced employment with the Company in such fiscal year. Performance bonus goals will be evaluated and paid on an annual basis, with such payment, to the extent earned, to be made within 21⁄2 months following the close of the applicable fiscal year, but only if you are still employed by the Company as of the date of payment. 

 4. Employee Benefits. As a regular employee of the Company, you will be eligible to
participate in a number of Company-sponsored benefits that are currently in place at the Company. These benefits will include health and dental insurance. In addition, you will be entitled to vacation in accordance with the Company’s vacation
policy, as in effect from time to time. 
 5. Severance Benefits. In the event of an Involuntary Termination, provided you satisfy the
conditions described in Section 5(c) below, you will be entitled to the following benefits: 
 (a) Salary Continuation and Equity
Acceleration. 
 (i) If your Involuntary Termination occurs more than three months prior to a Change in Control or more than twelve
(12) months after a Change in Control, the Company will continue to pay your base salary for a period of twelve (12) months after your Separation; pay a pro-rated portion of your annual target bonus
(based on number of months elapsed in the fiscal year); and you shall receive an additional nine (9) months of vesting on all your equity awards or grants then outstanding; or 

(ii) if your Involuntary Termination occurs within three months prior to a Change in Control or within twelve (12) months after a Change
in Control, the Company will pay to you an amount equal to one and one-half (1.5) times the sum of (i) your base salary and (ii) your annual target bonus, less the amount of any salary continuation
payments previously made pursuant to Section 5(a)(i), in substantially equal installments over a period of eighteen (18) months after your Separation; pay a pro-rated portion of your annual target
bonus (based on number of months elapsed in the fiscal year); and all your equity awards or grants then outstanding shall immediately vest in full. 

The actual period during which the Company continues to make severance payments to you pursuant to this Section 5(a) shall be referred to
as the “Severance Period”. Your base salary and target bonus will be the rate or amounts in effect at the time of your Separation and any severance payments will be paid in accordance with the Company’s standard payroll procedures.
Any severance payments will commence within 60 days after your Separation and, once they commence, will include any unpaid amounts accrued from the date of your Separation. However, if the 60 day period described in the preceding sentence spans two
calendar years, then the payments will in any event begin in the second calendar year. 
 (b) COBRA. Provided you elect to continue
your health insurance coverage under the Consolidated Omnibus Budget Reconciliation Act (“COBRA”) following your Separation, the Company will pay the same portion of your monthly premium under COBRA as it pays for active employees until
the earliest of (i) the close of the Severance Period, (ii) the expiration of your continuation coverage under COBRA or (iii) the date when you become eligible for substantially equivalent health insurance coverage in connection with
new employment or self-employment (the “COBRA Benefit”). If necessary to avoid adverse tax consequences to you or the Company, the Company, in its sole discretion, reserves the right to treat the COBRA Benefit as taxable income. 

 (c) Conditions. This Section 5 will not apply unless you (i) have returned
all Company property in your possession, (ii) have resigned as a member of the boards of directors of the Company and any of its subsidiaries, to the extent applicable, and (iii) have executed a general release of all claims that you may
have against the Company or persons affiliated therewith in the form prescribed by the Company, with said general release not containing greater post-employment obligations than those set forth herein. You must execute and return the release on or
before the date specified by the Company in the prescribed form (the “Release Deadline”). The Release Deadline will in no event be later than 50 days after your Separation. If you fail to return the release on or before the Release
Deadline, or if you revoke the release, then you will not be entitled to the benefits described in this Section 5. 
 6. Gifts.
You are not permitted to, directly or indirectly, in connection with the performance of your duties, accept or demand commission, contribution, reimbursement or gifts in any form whatsoever from third parties. This does not apply to customary
promotional gifts not exceeding a value of $200. 
 7. Reimbursement of Expenses. The Company will reimburse business expenses
reasonably incurred in the performance of your duties in accordance with the Company’s standard practice and expense scheme in place at the time. Reimbursement of business expenses will be paid no later than
21⁄2 months following the close of the applicable fiscal year in which the expense was incurred. 

8. Indemnification. The Company confirms that you will an insured person pursuant to the terms of the Company’s executive liability
insurance policy. 
 9. Documents and Company Property. You are prohibited from keeping in your possession in any way any
correspondence, documents, other information carriers, copies thereof, and other goods made available by the Company or its affiliates to you (including, but not limited to, credit cards, mobile communication devices, keys, documents, handbooks,
financial data, plans, USB sticks or other information carriers, access cards and laptop computer), except to the extent that this is necessary for the performance of your work for the Company. In any event, you are obliged to immediately hand over
such documents and other goods made available to you at the end of this letter agreement or upon suspension of your active duties for any reason. 

10. Proprietary Information and Inventions Agreement. This letter agreement is subject to your execution of the Proprietary Information
and Inventions Agreement attached as Exhibit A. 
 11. Employment Relationship. Employment with the Company is for no specific
period of time. Your employment with the Company will be “at will,” meaning that either you or the Company may terminate your employment at any time and for any reason, with or without Cause. Although your job duties, title, compensation
and benefits, as well as the Company’s personnel policies and procedures, may change from time to time, the “at will” nature of your employment may only be changed in an express written agreement signed by you and a duly authorized
officer of the Company (other than you). 

 12. Tax Matters. 

(a) Withholding. All forms of compensation referred to in this letter agreement are subject to reduction to reflect applicable
withholding and payroll taxes and other deductions required by law. 
 (b) Section 409A. It is intended that payments under this
letter agreement satisfy, to the greatest extent possible, the exemption from the application of Section 409A of the Code (and any state law of similar effect) provided under Treasury Regulation
Section 1.409A-1(b)(4) (as a “short-term deferral”). The parties agree that this letter agreement may be amended, as reasonably requested by either party, and as may be necessary to fully comply
with Section 409A of the Code and all related rules and regulations in order to preserve the payments and benefits provided hereunder without additional cost to either party. Notwithstanding any provision to the contrary in this letter
agreement: (i) for purposes of Section 409A of the Code, your right to receive installment payments pursuant to Section 5 shall be treated as a right to receive a series of separate and distinct payments; and (ii) to the extent
that any reimbursement of expenses or in-kind benefits constitutes “deferred compensation” under Section 409A of the Code, such reimbursement or benefit shall be provided no later than
December 31 of the year following the year in which the expense was incurred. The amount of expenses reimbursed in one year shall not affect the amount eligible for reimbursement in any subsequent year. The amount of any in-kind benefits provided in one year shall not affect the amount of in-kind benefits provided in any other year. Notwithstanding any provision to the contrary, if you are
deemed at the time of your Separation to be a “specified employee” for purposes of Section 409A(a)(2)(B)(i) of the Code, to the extent delayed commencement of any portion of the termination benefits to which you are entitled under
this letter agreement is required in order to avoid a prohibited distribution under Section 409A(a)(2)(B)(i) of the Code, such portion of your termination benefits shall not be provided to you prior to the earlier of (x) the expiration of
the six-month period measured from the date of your Separation or (y) the date of your death; upon the earlier of such dates, all payments deferred pursuant to this sentence shall be paid in a lump sum to
you, and any remaining payments due under the letter agreement shall be paid as otherwise provided herein. 
 (c) 280G Parachute
Payments. If any payment or benefit that you would receive in connection with a Change in Control from the Company or otherwise (“Payment”) would (i) constitute a “parachute payment” within the meaning of
Section 280G of the Code, and (ii) but for this sentence, be subject to the excise tax imposed by Section 4999 of the Code (the “Excise Tax”), then such Payment shall be equal to the Reduced Amount. The “Reduced
Amount” shall be either (x) the largest portion of the Payment that would result in no portion of the Payment being subject to the Excise Tax, or (y) the largest portion, up to and including the total, of the Payment, whichever
amount, after taking into account all applicable federal, state and local employment taxes, income taxes, and the Excise Tax (all computed at the highest applicable marginal rate), results in your receipt of the greatest economic benefit
notwithstanding that all or some portion of the Payment may be subject to the Excise Tax. If a reduction in payments or benefits constituting “parachute payments” is necessary so that the Payment equals the Reduced Amount, any reduction
shall be applied first, on a pro rata basis, to amounts that constitute deferred compensation within the meaning of Section 409A of the Code, and, in the event that any such reduction exceeds the amount of any payments that are subject to
Section 409A of the Code, the remaining reductions shall be applied first with respect to amounts payable in cash before being made in respect to any payments to be provided in the form of benefits or equity award acceleration, and in the form
of benefits before being made with respect to equity award acceleration. The Company’s determinations hereunder shall be final, binding and conclusive on all interested parties. 

 

 (d) Tax Advice. You are encouraged to obtain your own tax advice regarding your
compensation from the Company. You agree that the Company does not have a duty to design its compensation policies in a manner that minimizes your tax liabilities, and you will not make any claim against the Company or its Board related to tax
liabilities arising from your compensation. 
 13. Interpretation, Amendment and Enforcement. This letter agreement and Exhibit
A constitute the complete agreement between you and the Company, contain all of the terms of your employment with the Company and supersede any prior agreements, representations or understandings (whether written, oral or implied) between you
and the Company. This letter agreement may not be amended or modified, except by an express written agreement signed by both you and a duly authorized officer of the Company. The terms of this letter agreement and the resolution of any disputes as
to the meaning, effect, performance or validity of this letter agreement or arising out of, related to, or in any way connected with, this letter agreement, your employment with the Company or any other relationship between you and the Company (the
“Disputes”) will be governed by laws of the Commonwealth of Massachusetts, excluding laws relating to conflicts or choice of law. This letter agreement is not subject to collective bargaining arrangements. 

14. Unilateral Amendment of Company Code of Conduct. The Company reserves the right to unilaterally amend the terms and conditions of
the Company Code of Conduct, which will be made available to you. 
 15. Effectiveness. This letter agreement shall become effective
upon the effective date of the registration statement filed by the Company with the Securities and Exchange Commission for its initial offering of common shares to the public (the “IPO”). If the IPO does not occur prior to
December 31, 2022, then this Agreement shall be null and void. 
 16. Definitions. The following terms have the meaning set forth
below wherever they are used in this Agreement: 
 “Cause” shall mean: 

 

	 	a)	 An unauthorized use or disclosure by the employee of the Company’s confidential information or trade
secrets, which use or disclosure causes material harm to the Company; 

  

	 	b)	 A material breach by the employee of any written agreement between the employee and the Company, which breach
remains uncured 10 days following written notice of such breach to the employee; 

	 	c)	 A material failure by the employee to comply with the Company’s written policies or rules;

  

	 	d)	 The employee’s conviction of, or plea of “guilty” or “no contest” to, a felony under
the laws of the United States or any State thereof; 

  

	 	e)	 The employee’s gross negligence or willful misconduct causing material harm to the Company;

  

	 	f)	 A continuing failure by the employee to perform assigned duties after receiving written notification of such
failure from the Board; or 

  

	 	g)	 A failure by the employee to cooperate in good faith with a governmental or internal investigation of the
Company or its directors, officers or employees, if the Company has requested the employee’s cooperation. 

“Change in Control” means (a) the consummation of a merger or consolidation of the Company with or into another entity,
(b) the sale of all or substantially all of the assets of the Company, or (c) any “person” (as such term is used in Sections 13(d) and 14(d) of the Exchange Act of 1934) becomes the “beneficial owner” (as defined in
Rule 13d-3 of the Exchange Act of 1934), directly or indirectly, of securities of the Company representing more than 50% of the total voting power represented by the Company’s then-outstanding voting
securities. The foregoing notwithstanding, a merger or consolidation of the Company does not constitute a “Change in Control” if immediately after the merger or consolidation a majority of the voting power of the capital stock of the
continuing or surviving entity, or any direct or indirect parent company of the continuing or surviving entity, will be owned by the persons who were the Company’s stockholders immediately prior to the merger or consolidation in substantially
the same proportions as their ownership of the voting power of the Company’s capital stock immediately prior to the merger or consolidation. 

“Code” means the Internal Revenue Code of 1986, as amended. 

“Involuntary Termination” means either (a) your Termination Without Cause or (b) your Resignation for Good Reason.

 “Resignation for Good Reason” means a Separation as a result of your resignation within 12 months after one of the
following conditions has come into existence without your consent: 
  

	 	(a)	 A diminution in your base salary; 

 

	 	(b)	 A material diminution of your authority, duties or responsibilities; 

 

	 	(c)	 A change in the geographic location at which you must perform your services for the Company of more than 50
miles; or 

  

	 	(d)	 the Company’s material breach of any agreement between you and the Company. 

 A Resignation for Good Reason will not be deemed to have occurred unless you give the Company written notice
of the condition within 90 days after the condition comes into existence and the Company fails to remedy the condition within 30 days after receiving your written notice. 

“Separation” means a “separation from service,” as defined in the regulations under Section 409A of the Code.

 “Termination Without Cause” means a Separation as a result of a termination of your employment by the Company without
Cause, provided you are willing and able to continue performing services within the meaning of Treasury Regulation 1.409A-1(n)(1). 

 We hope that you will accept our offer to continue in the role of President and Chief
Executive Officer. You may indicate your agreement with these terms and accept this offer by signing and dating the enclosed duplicate original of this agreement and returning it to me. As required by law, your employment with the Company is
contingent upon your providing legal proof of your identity and authorization to work in the United States. 
 If you have any questions,
please let me know. 
  

	
	Very truly yours,
	
	Theseus Pharmaceuticals, Inc.
	
	 /s/ Brad Dahms

	Brad Dahms, Chief Financial Officer

 I have read and accept this employment offer: 
  

	
	 /s/ Tim Clackson

	Signature of Tim Clackson

 Dated: September 10, 2021 

 Exhibit A 

Proprietary Information and Inventions Agreement

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