Company: SCLXW
Filing Date: 2025-12-16
Form Type: S-1
Source: 0001193125-25-319720
Chunk: 35

Company: Scilex Holding Co
Filing Date: 2025-12-16
Form: S-1
Chunk 35
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 Scholes option pricing model on the date of the fundamental transaction, if the fundamental transaction is within our control. Our or such successor entity’s ability to repurchase such warrants upon such an event will depend on our or such successor entity’s available cash resources at such time, which will also be subject to general economic, financial, competitive, legislative and regulatory factors and other factors that are beyond our control. We cannot assure you that we will maintain sufficient cash reserves or that our business will generate cash flow from operations at levels sufficient to permit us to repurchase such warrants in the event of a fundamental transaction.

If we do not maintain a current and effective registration statement or resale registration statement registering the shares of Common Stock issuable upon exercise of the Exchange Warrants, September 2025 Warrants and November 2025 Warrants, the respective holders will also be able to exercise such warrants on a “cashless basis.”

If a registration statement registering the shares of Common Stock issuable upon exercise of the Exchange Warrants under the Securities Act is not effective or available at the time that holders wish to exercise such Exchange Warrants, and if a resale registration statement registering the shares of Common Stock issuable upon exercise of the Exchange Warrants, September 2025 Warrants and November 2025 Warrants under the Securities Act is also not effective or available at the time that holders wish to exercise such warrants, holders will be able to exercise the such warrants on a “cashless basis.” As a result, the number of shares of Common Stock that holders will receive upon exercise of such warrants will be fewer than it would have been had such holders exercised their warrants for cash.

We may not receive any additional funds upon the exercise of the Exchange Warrants, September 2025 Warrants and November 2025 Warrants.

Each Exchange Warrant, September 2025 Warrant and November 2025 Warrants may be exercised by way of a cashless exercise if permitted by the terms of such warrants, as described above, meaning that the holder may not pay a cash purchase price upon exercise, but instead would receive upon such exercise the net number of shares of our Common Stock determined according to the formula set forth in the respective warrant. Accordingly, we may not receive any additional funds upon the exercise of the Exchange Warrants, September 2025 Warrants or November 2025 Warrants, or if such warrants are not exercised at all.**

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Risks Related to our Limited Operating History, Financial Condition and Capital Requirements