Company: SMNR
Filing Date: 2025-08-12
Form Type: S-4/A
Source: 0001193125-25-178821
Chunk: 350

Company: Semnur Pharmaceuticals, Inc.
Filing Date: 2025-08-12
Form: S-4/A
Chunk 350
---
 rate information, Semnur projected annual sales of approximately $55.8 million in the first year after the commercial launch of SP-102, and annual sales of approximately $4.9 billion in the fifth year after the commercial launch, which will grow to the peak of approximately $5.9 billion in 2036 and will begin to decline gradually after the expiration of the SP-102 patent. Semnur’s management anticipates revenues will drop to approximately $4.7 billion during the first year after the expiration of the SP-102 patent and continue to decline to approximately $2.1 billion in 2039, after which the revenues will remain relatively flat. |

| (2) | Cost of sales projections are based on Semnur management’s expected negotiated contract prices with Genzyme under a supply agreement that Semnur is currently discussing with Sanofi, an affiliate of Genzyme, pursuant to which Genzyme would provide Semnur with its clinical and commercial supply needs for sodium hyaluronate, one of the excipients for SP-102. In addition, cost of sales projections also considered the negotiated contracted prices of commercial production of SP-102, if approved, by Lifecore under the Lifecore Master Services Agreement. Lifecore is the single-source manufacturer of SP-102. Taking into account the historical cost of supply by Genzyme and cost of manufacturing by Lifecore, cost of sales is estimated to be 10% of gross sales. |

| (3) | Gross profit projections are based on the projected net sales, with costs of sales, royalty payments and milestone payments deducted. Net sales are estimated to be approximately 35% of gross sales, and are determined by subtracting various fees and expenses from gross sales. These deductions include government and commercial rebates, return reserve, chargebacks and service fees. Cost of sales is estimated to be 10% of gross sales, as indicated in footnote (2) above. |

Gross profit projections assume royalty and milestone payments commence concurrently with the launch of SP-102 in fiscal year 2027, and that such payments will range from approximately $34.8 million to $225.4 million, with peak royalty and milestone payments of $225.4 million in fiscal year 2029. Under the Semnur Merger Agreement, assuming SP-102is approved by the FDA, Scilex is obligated to pay the Semnur Equityholders up to $280.0 million in aggregate contingent cash consideration based