Company: DNLI
Filing Date: 2025-02-27
Form Type: S-3ASR
Source: 0001628280-25-008647
Chunk: 22

Company: Denali Therapeutics Inc.
Filing Date: 2025-02-27
Form: S-3ASR
Chunk 22
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 net tangible book value per share represents historical net tangible book value divided by the number of shares of our common stock outstanding as of December 31, 2024.

After giving effect to the sale of our common stock in the aggregate amount of $400.0 million assuming for illustrative purposes that an aggregate of 20,833,333 shares of common stock are sold during the term of the equity distribution agreement at a price of $19.20 per share, the last reported sale price of our common stock on the Nasdaq Global Select Market on February 25, 2025, and after deducting estimated offering commissions and estimated offering expenses payable by us, our as adjusted net tangible book value as of December 31, 2024 would have been approximately $1.6 billion, or $9.80 per share. This represents an immediate increase in net tangible book value of $1.27 per share to existing stockholders and immediate dilution in net tangible book value of $9.40 per share to new investors purchasing our common stock in this offering at the assumed public offering price.

The following table illustrates this dilution on a per share basis:

| Assumed offering price per share                                                        |     |   |      |     | $ | 19.20 |
| Historical net tangible book value per share as of December 31, 2024                    |     | $ | 8.53 |     |   |       |
| Increase in as adjusted net tangible book value per share attributable to this offering |     | $ | 1.27 |     |   |       |
| As adjusted net tangible book value per share after this offering                       |     |   |      |     | $ |  9.80 |
| Dilution per share to new investors in this offering                                    |     |   |      |     | $ |  9.40 |

The foregoing table and calculations are based on 144,220,986 shares of our common stock outstanding as of December 31, 2024, and excludes:

• 26,046,065 shares of common stock issuable upon the exercise of pre-funded warrants outstanding as of December 31, 2024;

• 18,660,150 shares of common stock issuable upon the exercise of stock options outstanding as of December 31, 2024, at a weighted average exercise price of $25.99 per share;

• 4,128,514 shares of common stock issuable upon the vesting of restricted stock units outstanding