Company: SMNR
Filing Date: 2025-08-13
Form Type: 424B3
Source: 0001193125-25-179226
Chunk: 279

Company: Semnur Pharmaceuticals, Inc.
Filing Date: 2025-08-13
Form: 424B3
Chunk 279
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’s shareholders approved an amendment to the Current Denali Charter to remove the limitation that Denali may not redeem public shares in an amount that would cause Denali’s net tangible assets to be less than $5,000,001 (the “Redemption Limitation”). Additionally, the Merger Agreement does not include a closing condition that requires New Semnur to have at least $5,000,001 of net tangible assets upon the Closing. The purpose of the Redemption Limitation was to ensure that Denali would not be subject to the “penny stock” rules of the SEC as long as it adhered to the Redemption Limitation, and therefore not be deemed a “blank check company” as defined under Rule 419 of the Securities Act because it complied with Rule 3a51-1(g)(1)(the “NTA Rule”). However, because the NTA Rule is one of several exclusions from the “penny stock” rules of the SEC, Denali recommended that shareholders remove the Redemption Limitation from the Current Denali Charter, because at that time Denali could rely on another exclusion which relates to Denali being listed on Nasdaq (Rule 3a51-1(a)(2))(the “Exchange Rule”). For so long as the public shares remained listed on Nasdaq, the public shares would not be deemed to be a “penny stock” under the Exchange Rule. However, Denali’s securities were delisted from Nasdaq on April 16, 2025, and commenced trading on the OTC Markets on April 17, 2025. Another exclusion from the “penny stock” rule that New Semnur could potentially rely on after the Closing is the requirement that the New Semnur Common Stock have a price of $5.00 or more (the “$5.00 Price Rule”). However, we cannot assure you that the New Semnur Common Stock will be listed on Nasdaq at the Closing or that the New Semnur Common Stock would comply with the $5.00 Price Rule. If New Semnur has less than $5,000,001 of net tangible assets upon the Closing, such that it does not meet the NTA Rule, if the New Semnur Common Stock is not listed on Nasdaq or another national securities exchange, either due to the New Semnur Common Stock not being approved for listing or due to a subsequent delisting of the New Semnur Common Stock, such that it does not satisfy the Exchange Rule,