Company: SCLXW
Filing Date: 2025-08-04
Form Type: S-1
Source: 0001193125-25-172703
Chunk: 567

Company: Scilex Holding Co
Filing Date: 2025-08-04
Form: S-1
Chunk 567
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 aggregate of up to 214,284 shares of Common Stock, and 57,512,958 December 2024 RDO Common Warrants, which are currently exercisable for an aggregate of up to 1,642,871 shares of Common Stock. As of March 31, 2025, the fair value of derivative warrant liabilities related to these warrants was $ 7.9 million.**

The following table includes a summary of the derivative liabilities measured at fair value during the three months ended March 31, 2025 (in thousands):

|                                        |     | Fair Value |         |   |
|:---------------------------------------|:----|:-----------|--------:|:--|
| Ending Balance as of December 31, 2024 |     | $          |  18,303 |   |
| Change in fair value measurement       |     |            | (10,409 | ) |
| Ending Balance as of March 31, 2025    |     | $          |   7,894 |   |

<div align='center'>F-73</div>

**Warrant Liability Measurement

The derivative warrant liability was valued using the Black-Scholes option pricing model, which is considered to be a Level 3 fair value measurement. The primary unobservable input utilized in determining the fair value of the warrant is the expected volatility of the Common Stock. The expected volatility assumption is based on the Company’s historical volatility, historical volatilities of comparable companies whose share prices are publicly available as well as the implied volatility of the Public Warrants (as defined below), described in Note 9 of the Notes to Consolidated Financial Statements in the Annual Report on Form 10-K.**

A summary of the inputs used in valuing the derivative warrant liabilities as of March 31, 2025 is as follows:

|                |     |   | PrivateWarrants |   |     |   | February 2024BDO FirmWarrants |   |     |   | April 2024RDO CommonWarrants |   |     |   | DepositWarrant |   |     |   | October 2024NoteholderWarrants |   |     |   | December 2024RDO CommonWarrants (5yr) |   |     |   | December 2024RDO CommonWarrants (2.5yr) |   |
|:---------------|:----|:--|----------------:|:--|:----|:--|------------------------------:|: