Avalo Therapeutics Amends Executive Severance Pacts

Avalo Therapeutics, Inc. amended employment agreements for its Chief Executive Officer, Chief Financial Officer, Chief Medical Officer, and Chief Business Officer, modifying severance and change-in-control benefits. Under normal termination without cause or for good reason, executives will receive 12-18 months of base salary, bonuses, and COBRA coverage, with full vesting of pre-effective date options. In a change-in-control scenario, benefits include 1.0x-1.5x base salary plus 1.0x target bonus, full equity acceleration, and extended option exercise periods. Additionally, the company exchanged 4,294.675 shares of Series C Preferred Stock for new Series C-1 Preferred Stock with an accredited investor, removing a beneficial ownership limit and allowing the investor to increase their stake from 4.99% to 9.99% of common stock.