Company: SCLXW
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0000950170-25-047800
Chunk: 312

Company: Scilex Holding Co
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1B
Chunk 312
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 RDO Common Warrants as part of April 2024 RDO, October 2024 Noteholder Warrants as part of Tranche B Notes, December 2024 RDO Common Warrants as part of December 2024 RDO, and December 2024 RDO Pre-Funded Warrants as part of December 2024 RDO

        34,330

        Reclass of Deposit Warrant liability upon satisfaction of FSF Deposit

        1,690

        Cancellation of Private Warrants as part of Oramed Letter Agreement

        (445
        )

        Warrant amendment and exercise as part of December 2024 RDO

        (428
        )

        Settlement of December 2024 RDO Pre-Funded Warrants

        (984
        )

        Change in fair value measurement

        (17,378
        )

        Ending Balance as of December 31, 2024
         
        $
        18,303

       Warrant Liability Measurement The derivative warrant liability was valued using the Black-Scholes option pricing model, which is considered to be 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 (see Note 9). A summary of the inputs used in valuing the derivative warrant liabilities is as follows: 

        Private Warrants

        February 2024 BDO Firm Warrants

        April 2024 RDO Common Warrants

        Deposit Warrant

        October 2024 Noteholder Warrants

        December 2024 RDO Common Warrants (5yr)

        December 2024 RDO Common Warrants (2.5yr)

        December 31,

        2024

        Equity value
         
        $
        0.43

        $
        0.43

        $
        0.43

        $
        0.43

        $
        0.43

        $
        0.43

        $
        0.43

        Exercise price
         
        $
        11.50

        $
        1.70

        $
        1.10

        $
        1.20

        $
        1.04