Company: LIMN
Filing Date: 2025-07-28
Form Type: S-1/A
Source: 0001410578-25-001518
Chunk: 335

Company: Liminatus Pharma, Inc.
Filing Date: 2025-07-28
Form: S-1/A
Chunk 335
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 proceeds of the Note will be used by the Company for working capital purposes. As of December 31, 2024 and December 31, 2023, the Company’s outstanding balance was $ 613,720under this loan. For the years ended December 31, 2024 and December 31, 2023, $ 28,463and $ 120,515of the total $ 613,720outstanding balance was used for extension payments to the Trust Account, and the remaining balance was advanced for working capital purposes. In accordance with ASC 815, the premium for the 150% of the principal upon a business combination was determined to be an embedded feature that is bifurcated from the notes and is recorded as derivative liability. Management used a probability weighted expected return model to estimate the fair value of the redemption features at issuance of the promissory note – related party and as of December 31, 2024 and December 31, 2023. As of December 31, 2024 and December 31, 2023, the fair value of the derivative liability was $ 0and $ 2,202, respectively. The Company recorded a decrease in fair value of the derivative liability of $ 2,202and $ 102,226for the years ended December 31, 2024 and December 31, 2023, respectively. At issuance, the debt discount for derivative liability was $ 104,428. As of December 31, 2024 and December 31, 2023, the debt discount for derivative liability was $ 0and $ 1,339, respectively. For the years ended December 31, 2024 and December 31, 2023, the Company recorded accretion of the debt discount of $ 1,339and $ 103,089, respectively, which is included in interest expense - related party on the accompanying statements of operations. In March 2023, during the United States banking crisis, the Company held cash in First Republic Bank and transferred $ 120,000to the Sponsor to avoid delays in receiving funds from the bank in the event of collapse. In June 2023, this amount was still held by the Sponsor and used as a repayment of the outstanding principal balance. On March 13, 2024, the December 2022 unsecured promissory note with the Sponsor was amended and restated to eliminate the 150% that would have been due upon the