Company: SMNR
Filing Date: 2025-04-02
Form Type: 10-K
Source: 0001213900-25-027319
Chunk: 758

Company: Semnur Pharmaceuticals, Inc.
Filing Date: 2025-04-02
Form: 10-K
Item: Item 4
Chunk 758
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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 the minimum of $50 million required for continued listing on The Nasdaq Global Market pursuant to Nasdaq Listing Rule
5450(b)(2)(A). The staff at Nasdaq also noted in the Letter that the Company is not in compliance with Nasdaq Listing Rule 5450(b)(3)(A),
which requires listed companies to have total assets and total revenue of at least $50,000,000 each for the most recently completed
fiscal year or for two of the three most recently completed fiscal years. The Letter is only a notification of deficiency, not of imminent
delisting, and has no current effect on the listing or trading of the Company’s securities on Nasdaq. In accordance with Nasdaq
Listing Rule 5810(c)(3)(C), the Company has 180 calendar days, or until August 20, 2024, to regain compliance. The Letter notes that
to regain compliance, the Company’s MVLS must close at or above $50 million for a minimum of ten consecutive business days
during the compliance period. The Letter further notes that if the Company is unable to satisfy the MVLS requirement prior to such date,
the Company may be eligible to transfer the listing of its