Company: SION
Filing Date: 2025-02-03
Form Type: S-1/A
Source: 0001193125-25-018825
Chunk: 263

Company: Sionna Therapeutics, Inc.
Filing Date: 2025-02-03
Form: S-1/A
Chunk 263
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, transfer, and deliver, or cause to be sold, transferred, and delivered, to a buyer, his or her shares in the event the majority of our shareholders determine to enter into a “sale event,” as
defined in the 2020 Plan and which does not include this offering.

In the event of certain changes in our capitalization, the exercise prices of
and the number of shares subject to outstanding options, and the purchase price of and the numbers of shares subject to outstanding awards will be proportionately adjusted.

The 2020 Plan provides that upon the effectiveness of a sale event, an acquirer or successor entity may assume, continue or substitute for the
outstanding awards under the 2020 Plan. To the extent that awards granted under the 2020 Plan are not assumed or continued or substituted by the successor entity, all options and all other awards granted under the 2020 Plan shall terminate. In the
event of such termination, individuals holding options will be permitted to exercise such options (to the extent exercisable) prior to the sale event. In addition, in connection with the termination of the 2020 Plan upon a sale event, we may make or
provide for a cash payment equal to (A) in the case of vested and exercisable options (including by reason of acceleration in connection with the sale event), the difference between (1) the per share cash consideration payable to
stockholders (as determined by the plan administrator) in the sale event times the number of shares subject to the options being cancelled and (2) the aggregate exercise price of the options and (B) in the case of restricted stock and
restricted stock unit awards, the per share cash consideration payable to stockholders in the sale event multiplied by the number of shares of stock subject to such stock awards (payable at the time of the sale event or upon the later vesting of the
awards). In the event of the forfeiture of shares of restricted stock issued under our 2020 Plan, such shares of restricted stock shall be repurchased from the holder at a price per share equal to the original per share purchase price paid by the
recipient of such shares. Additionally, the board of directors may resolve, in its sole discretion, to subject any assumed options or payments in respect of options to any escrow, holdback, indemnification,
earn-out or similar provisions in the transaction agreements as such provisions apply to holders of our common stock. As of December 31, 2024, options to purchase up to