Company: SMNR
Filing Date: 2025-04-02
Form Type: 10-K
Source: 0001213900-25-027319
Chunk: 141

Company: Semnur Pharmaceuticals, Inc.
Filing Date: 2025-04-02
Form: 10-K
Item: Item 1A
Chunk 141
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 and subject to the conditions of the Merger
Agreement, following the Domestication and at the effective time of the Merger (the “Effective Time”): (i) each share
of common stock of Semnur issued and outstanding immediately prior to the Effective Time will be automatically converted into the right
to receive, without interest, a number of New Semnur Shares equal to the Exchange Ratio (as defined in the Merger Agreement); (ii) each
share of preferred stock of Semnur issued and outstanding immediately prior to the Effective Time will be automatically converted into
the right to receive, without interest, (a) one share of Series A preferred stock of New Semnur (the “New Semnur Preferred Share”)
and (b) one-tenth of one New Semnur Common Share, and (iii) subject to the Company’s receipt of the Option Exchange Approval (as
defined in the Merger Agreement), each option to purchase a share of Semnur common stock that is then outstanding shall be converted
into the right to receive an option to purchase a number of New Semnur Common Shares as determined by the Exchange Ratio upon substantially
the same terms and conditions as are in effect with respect to such option immediately prior to the Effective Time, with the exercise
price thereof adjusted by the Exchange Ratio. For purposes of the Merger Agreement, Semnur’s equity value is $2,500,000,000. 

The
Merger Agreement contemplates the execution of various additional agreements and instruments, on or before the closing of the Merger,
including, among others, the following: 

Concurrently
with the execution of the Merger Agreement, the sponsor and each of the Company’s directors and executive officers entered into
a sponsor support agreement with the Company and Semnur (the “Sponsor Support Agreement”), pursuant to which the sponsor
and each of Company’s directors and executive officers has agreed to, among other things: (i) vote in favor of the Parent Shareholder
Approval Matters (as defined in the Merger Agreement) and in favor of any proposal in respect of an Extension Amendment (as such terms
are defined in the Merger Agreement); (ii) vote against (or otherwise withhold written consent of, as applicable) any “Business
Combination” (as such term is defined in Denali’s organizational documents) or any proposal relating thereto (in each case,
other than as contemplated by the Merger Agreement); (iii