Company: SCLXW
Filing Date: 2025-05-14
Form Type: 424B3
Source: 0001193125-25-119846
Chunk: 87

Company: Scilex Holding Co
Filing Date: 2025-05-14
Form: 424B3
Chunk 87
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 Certain investors, particularly institutional investors, use these ratings to benchmark companies against their
peers, and certain major institutional investors have publicly emphasized the importance of these factors to their investment decisions. Topics taken into account in such assessments include, among others, the risks faced by companies arising out of
climate change, human rights, business ethics and compliance, and the role of companies’ board of directors in overseeing various sustainability-related risks. Equally, certain investors, including institutional investors, actively reject the
consideration of these matters when making their investment decisions. In light of certain investors’ increased focus on these factors, if we are, for example, perceived as deviating from our peers in respect of practices and initiatives
related to these factors, we may be exposed to shareholder activism and litigation (both in support of, or in opposition to, such practices and initiatives).

In addition, there are rapidly evolving developments and changing expectations relating to such factors. As a result, the criteria by which
our corporate responsibility and sustainability practices are assessed may change,

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which could cause us to undertake costly initiatives or actions to satisfy new demands. If we elect not to or are unable to adequately recognize and respond to such developments and changing (and
sometimes conflicting) governmental, societal, investor and/or consumer expectations relating to such factors, we may miss corporate opportunities, become subject to additional scrutiny or incur unexpected costs. We may also face risk of consumer
litigation or reputational damage in the event that our policies or practices do not meet the standards set by various constituencies.

We
may also face reputational damage if we are unable to achieve an acceptable sustainability rating from third-party rating services. A low sustainability rating by a third-party rating service could also result in the exclusion of our Common Stock
from consideration by certain investors who may elect to invest with our competitors instead. Ongoing focus on corporate responsibility and sustainability matters by investors and other stakeholders as described above may impose additional costs or
expose us to new risks. Any failure or perceived failure by us in this regard could have a material adverse effect on our reputation and on our business, financial condition or results of operations, including the sustainability of our business over
time, and could cause the market value of our Common Stock to decline.

Further, our risk management related to these factors may not
maximize short-term financial results and may yield financial results that conflict with the market’s expectations. We may in the future make business decisions consistent with our risk management related to these factors that we believe, based
on