Company: SCLXW
Filing Date: 2025-08-04
Form Type: S-1
Source: 0001193125-25-172703
Chunk: 572

Company: Scilex Holding Co
Filing Date: 2025-08-04
Form: S-1
Chunk 572
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 conditions to be classified in equity under FASB ASC 815, Derivatives and Hedging . The Purchased Interests will convert automatically, on a one-for-one basis, into one New Semnur Common Share at the effective time of the Domestication pursuant to the terms of the Semnur Business Combination Agreement. The Company determined it does not have significant influence over Denali and accounted for the Purchased Interests as equity securities at the transaction price, which consists of the $ 2,000,000 paid by the Company to the Sponsor and the value of the 8,571 shares of the Common Stock at the closing price of $ 40 per share on the Signing Date for a total of $ 2.3 million. The Company elected to subsequently measure the investment at cost less any impairment. As of each of March 31, 2025 and December 31, 2024, the Company’s investment in the Purchased Interests had a balance of $ 2.3 million. No impairment loss was recognized during the three months ended March 31, 2025.

Property and equipment, net**

Property and equipment, net consists of the following (in thousands):

|                                |     |   | March 31,2025 |   |     |   | December 31,2024 |   |
|:-------------------------------|:----|:--|--------------:|:--|:----|:--|-----------------:|:--|
| Construction in progress       |     | $ |           689 |   |     | $ |              689 |   |
| Furniture                      |     |   |            17 |   |     |   |               17 |   |
| Computers and equipment        |     |   |            16 |   |     |   |               16 |   |
| Leasehold improvements         |     |   |            50 |   |     |   |               50 |   |
| Property and equipment, gross  |     |   |           772 |   |     |   |              772 |   |
| Less: Accumulated depreciation |     |   |           (65 | ) |     |   |              (64 | ) |
| Property and equipment, net    |     | $ |           707 |   |     | $ |              708 |   |

**The Company recognized depreciation expense of $ 1.0 thousand and $ 4.0 thousand for the three months ended