Pelthos Therapeutics secures up to $50M senior secured term loan

Pelthos Therapeutics (PTHS) has secured financing from Horizon Technology Finance Corporation (HRZN), an affiliate of Monroe Capital, with an initial funding of $30M, and up to $20M to support future growth. Horizon funded $30M at closing, with up to an additional $20M available upon achieving certain milestones. The rate is Prime plus 3.75%, currently 10.50%, paid only on drawn capital. The term is sixty months with amortization beginning at month thirty-six with the ability to begin in month 48, if certain milestones are met and interest only until amortization commences. In connection with the financing, Pelthos issued Horizon warrants to purchase 65,488 shares of its common stock, par value $0.0001 per share, at an exercise price of $27.49 per share. Proceeds from the financing will be used to support the commercialization of ZELSUVMI, launch Xepi and Xeglyze, and for working capital and general corporate purposes.