Company: SION
Filing Date: 2025-01-17
Form Type: S-1
Source: 0001193125-25-008474
Chunk: 352

Company: Sionna Therapeutics, Inc.
Filing Date: 2025-01-17
Form: S-1
Chunk 352
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 September 30, 2024, and the Company is not aware of any material legal proceedings that are currently pending or threatened. Other Contracts The Company is party to various contracts with contract research organizations and contract manufacturing organizations that generally provide for termination on notice, with the exact amounts in the event of termination to be based on the timing of the termination and the terms of the agreement. There were no contractual obligations arising from these arrangements as of September 30, 2024 and 2023. Indemnification Agreements As permitted under Delaware law, the Company will indemnify its officers, directors, and employees for certain events or occurrences while the officer, director, or employee is, or was, serving at the Company’s request in such capacity. The term of the indemnification is for the officer’s or director’s lifetime. Further, in the ordinary course of business the Company may provide indemnification of varying scope and terms to vendors, lessors, business partners and other parties with respect to certain matters including, but not limited to, losses arising out of breach of such agreements or from intellectual property infringement claims made by third parties. The maximum potential amount of future payments the Company could be required to make under these indemnification agreements is, in many cases, unlimited. To date however, the Company has not incurred any significant costs as a result of such indemnifications nor experienced any losses related to them. As of September 30, 2024, the Company was not aware of any claims under indemnification arrangements and does not expect significant claims related to these indemnification obligations and, consequently, concluded that the fair value of these obligations is negligible; therefore, no related reserves were established. F-39

8. License Agreements

The Company has entered into several license agreements with third parties that typically involve payments from the Company, including up-front payments, milestone payments and royalty payments. The terms and conditions as well as accounting analysis for the Company’s significant license agreements are described in Note 9, “License Agreements” in the audited consolidated annual financial statements for the years ended December 31, 2023 and 2022 included elsewhere in this prospectus. There have been no other material changes to the terms and conditions or
accounting conclusions except as noted below.

AbbVie Agreement

In July 2024, the Company entered into a license agreement (the “AbbVie License Agreement”) with AbbVie Global Enterprises Ltd.
(“AbbVie”), pursuant to which the Company has been granted an exclusive worldwide,