LEO Pharma A/S entered into stalking horse asset purchase agreement to acquire Substantially All the assets from Timber Pharmaceuticals, Inc. (OTCPK:TMBR.Q) for $14.35 million on November 17, 2023. The acquisition includes TMB-001. The Purchase Agreement provides that the Company will pay certain bid protections to LEO upon termination of the transaction for the entry into and consummation of an alternative transaction for the Purchased Assets with a party other than LEO. The bid protections consist of a break-up fee to LEO equal to 2.5% of the cash purchase price, plus reimbursement of certain expenses, for total bid protections of up to 3.5% of the cash purchase price. The transaction is part of a sale process under Section 363 of the Bankruptcy Code that will be subject to approval by the Bankruptcy Court and compliance with agreed upon and Bankruptcy Court-approved bidding procedures allowing for the submission of higher or otherwise better offers, and other agreed-upon conditions.

LEO Pharma A/S completed the acquisition of Substantially All the assets from Timber Pharmaceuticals, Inc. (OTCPK:TMBR.Q) on January 22, 2024. On January 22, 2024, the Bankruptcy Court entered an order authorizing the Asset Sale pursuant to the terms of the Stalking Horse Agreement.