Company: SMNR
Filing Date: 2025-04-02
Form Type: 10-K
Source: 0001213900-25-027319
Chunk: 709

Company: Semnur Pharmaceuticals, Inc.
Filing Date: 2025-04-02
Form: 10-K
Item: Item 4
Chunk 709
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 may have insufficient funds available to operate our business prior to our initial
business combination. Moreover, we may need to obtain additional financing either to complete our business combination or because we
become obligated to redeem a significant number of our public shares upon completion of our business combination, in which case we may
issue additional securities or incur debt in connection with such business combination. 

19

Off-Balance
Sheet Arrangements 

We
have no obligations, assets or liabilities, which would be considered off-balance sheet arrangements as of December 31, 2024 and 2023.
We do not participate in transactions that create relationships with entities or financial partnerships, often referred to as variable
interest entities, which would have been established for the purpose of facilitating off-balance sheet arrangements. We have not entered
into any off-balance sheet financing arrangements, established any special purpose entities, guaranteed any debt or commitments of other
entities, or purchased any non-financial assets. 

Other
Contractual Obligations 

Registration
Rights 

The holders of our founder
shares, Private Placement Shares and Private Placement Warrants, including any of those issued upon conversion of any Working Capital
Loans (and any Private Placement Shares issuable upon the exercise of the Private Placement Warrants that may be issued upon conversion
of any Working Capital Loans) will be entitled to registration rights pursuant to a registration and shareholder rights agreement signed
on April 6, 2022. The holders of these securities are entitled to make up to three demands, excluding short form demands, that we register
such securities. In addition, the holders have certain “piggy-back” registration rights with respect to registration statements
filed after the completion of our initial business combination and rights to require us to register for resale such securities pursuant
to Rule 415 under the Securities Act. We will bear the costs and expenses of filing any such registration statements.

The
Merger Agreement contemplates that, at or prior to the closing of the Business Combination (the “Closing”), Denali, Scilex,
the Sponsor and certain shareholders of Denali will enter into an Amended and Restated Registration Rights Agreement (the “A&R
Registration Rights Agreement”), which, among other things, will govern the registration of certain shares of New Semnur Common
Stock for resale and be effective as of the Closing.

Underwriting
Agreement 

The underwriters received
a cash underwriting discount of $0.20 per Unit, or $