Company: SMNR
Filing Date: 2025-05-16
Form Type: 10-Q
Source: 0001213900-25-044889
Chunk: 48

Company: Semnur Pharmaceuticals, Inc.
Filing Date: 2025-05-16
Form: 10-Q
Item: Part I, Item 1
Chunk 48
---
 performance. Accordingly, management has determined that the Company
only has one operating and reportable segment.

When evaluating the Company’s performance
and making key decisions regarding resource allocation the CODM reviews several key metrics, which include the following:

    Three Months  Ended March 31, 2025  
    Three Months  Ended March 31, 2024 
  
    Professional services fee in connection with Business Combination 
    $(114,907) 
    $(219,328)
  
    Other formation and operating costs 
     (131,693) 
     (148,924)
  
    Total formation and operating costs 
     (246,600) 
     (368,252)
  
    Interest expense 
     (26,974) 
     (21,303)
  
    Interest earned on investment held in Trust Account 
     78,971  
     653,885 
  
    Net (loss) income 
    $(194,603) 
    $264,330 

The key measures of segment
profit or loss reviewed by our CODM are interest earned on investment in Trust Account and formation and operating expenses. The CODM
reviews interest earned on investment in Trust Account to measure and monitor shareholder value and determine the most effective strategy
of investment with the Trust Account funds while maintaining compliance with the trust agreement. Within formation and operating costs,
the CODM specifically reviews professional service fee in connection with the business combination, which are a significant segment expense,
and include legal fees, and advisory fees, as these represent significant costs affecting the Company’s consummation of the Business
Combination. Other formation and operating costs, including accounting expenses, printing expenses, and regulatory filing fees, are reviewed
in aggregate to ensure alignment with budget and contractual obligations. These expenses are monitored to manage and forecast cash available
to complete a business combination within the required period.

NOTE
10 – SUBSEQUENT EVENTS

The Company has evaluated subsequent events through
May 15, 2025 when these consolidated financial statements were issued and determined that there were no significant unrecognized
events through that date other than those noted below.

In connection with the shareholder meeting held
on April 11, 2025, shareholders holding 708,098 public shares exercised their right to redeem such shares for a pro rata portion of the
funds in the Company’s Trust Account. As a result, approximately $8.6 million (approximately $12.17 per share) was removed from