Company: SMNR
Filing Date: 2025-04-02
Form Type: 10-K
Source: 0001213900-25-027319
Chunk: 1860

Company: Semnur Pharmaceuticals, Inc.
Filing Date: 2025-04-02
Form: 10-K
Item: Item 12
Chunk 1860
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 Convertible Promissory Note to the Trust Account to extend the
time the Company has to consummate an initial business combination from January 11, 2025 to April 11, 2025.

Based
on the foregoing, management believes that the Company will not have sufficient working capital and borrowing capacity to meet its needs
through the consummation of the initial Business Combination. If the Company is unable to raise additional capital, it may be required
to take additional measures to conserve liquidity, which could include, but not necessarily be limited to, curtailing operations, suspending
the pursuit of a potential transaction, and reducing overhead expenses. The Company cannot provide any assurance that new financing will
be available to it on commercially acceptable terms, if at all.

In
accordance with ASC Subtopic 205-40, “Presentation of Financial Statements – Going Concern”, the Company has evaluated
that there are certain conditions and events, considered in the aggregate, that raise substantial doubt about the Company’s ability
to continue as a going concern through April 11, 2025 (as extended pursuant to amended and restated memorandum and articles of association
of the Company dated July 10, 2024), the date that the Company will be required to cease all operations, except for the purpose
of winding up, if a Business Combination is not consummated. These consolidated financial statements do not include any adjustments relating
to the recovery of the recorded assets or the classification of the liabilities that might be necessary should the Company be unable
to continue as a going concern.

Risks
and Uncertainties

In
February 2022, the Russian Federation and Belarus commenced a military action with the country of Ukraine. As a result of this action,
various nations, including the United States, have instituted economic sanctions against the Russian Federation and Belarus. Further,
the impact of this action, related sanctions on the world economy and the ongoing hostilities in the Middle East are not determinable
as of the date of these consolidated financial statements. The specific impact on the Company’s financial condition, results of
operations, and cash flow is also not determinable as of the date of these consolidated financial statements.

On
February 22, 2024, the Company received a letter (the “Letter”) from the staff at Nasdaq notifying the Company that, for
the 30 consecutive business days prior to the date of the Letter, the Company’s Minimum Value of Listed Securities (“MVLS”)
was below