Company: SCLXW
Filing Date: 2025-08-04
Form Type: S-1
Source: 0001193125-25-172703
Chunk: 568

Company: Scilex Holding Co
Filing Date: 2025-08-04
Form: S-1
Chunk 568
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 |     |   |                          4.29 | % |     |   |                         4.30 | % |     |   |           4.30 | % |     |   |                           4.32 | % |     |   |                                  4.33 | % |     |   |                                    4.21 | % |
| Dividend yield |     |   |             0.0 | % |     |   |                           0.0 | % |     |   |                          0.0 | % |     |   |            0.0 | % |     |   |                            0.0 | % |     |   |                                   0.0 | % |     |   |                                     0.0 | % |

**Contingent Consideration Related to SP-104Acquisition

The Development Milestone Payment related to the SP-104 Assets represents an obligation to potentially settle a fixed value in a variable number of shares of Common Stock and requires remeasurement at fair value through settlement.

Upon the achievement of FDA approval for a new drug application for SP-104, the Company will transfer $ 3.0 million in cash or shares of Common Stock to Aardvark, at the discretion of the Company. The fair value of the contingent consideration liability associated with the Development Milestone Payment was estimated using a probability-weighted discounted cash flow method. Significant unobservable inputs assumptions included the likelihood of receiving FDA approval for SP-104, expected timing for receipt of FDA approval for SP-104, and a discount rate of 9.6 %. As of each of March 31, 2025 and December 31, 2024, the fair value of contingent consideration related to the Development Milestone Payment was $ 0.2 million.

5. Balance Sheet Components Investments Convertible Promissory Note On August 9, 2024, Denali Capital Acquisition Corp. (“Denali”) issued a convertible promissory note (the “Convertible Promissory Note”) in the total principal amount of up to $ 180,000to the Company. The Convertible Promissory Note was issued with an initial principal balance of $ 15,063.74, with the remaining $ 164,936.26drawable at Denali’s request and upon the consent of the Company prior to the maturity of the F-74**

Convertible Promissory Note. The Convertible Promissory Note matures upon the earlier of (i) the