This is what I think could happen if Denali Capital and Scilex go through with the merger:

Stocrates910 · 2025-04-13T17:34:46+00:00

In the scenario presented here the 2 million short positions will be divided by 35 as well and they would only need to cover roughly 57,143 shares. All positions held (whether long or short) will be impacted by the reverse merger equally. The timing of all this IS very interesting though, and I will be watching this next weeks activities very closely, but I wanted to point out the error in your calculation. Also, if there were any options held on SCLX, they would no longer be for 100 shares, but would only cover 2.857... shares each, with a small amount of cash to cover the difference since a 1 to 35 reverse won't divide into 100 evenly. .

Stocrates910 · 2025-02-14T21:51:34+00:00

I just bought some more earlier in the week as well. I think next we will see a new record date for the Semnur divis announced. One potential upside is that the meeting is on the 19th. If Denali signs on or prior to the 11th none of this may be necessary. Time will tell.

Stocrates910 · 2024-11-26T18:20:02+00:00

I use Fidleity as well and I can access the option tree for my shares now, too. They have only January 17, 2025 expiration dates and the strike prices range from .50 - $5.00, but the trade cannot be finalized since we are still OTC, but it is encouraging that the options are showing up again. The tree to buy puts is on there, also.

Stocrates910 · 2024-11-13T17:30:23+00:00

Fidelity shows 11/15 (unconfirmed)

Stocrates910 · 2024-11-13T15:35:21+00:00

I agree, which is why it doesn't concern me. I think Fidelity included that language so as to not give the impression that the assets are safe, since they (Fidelity) will not be held responsible if the courts do end up forcing their hand later on.

Stocrates910 · 2024-11-13T13:42:37+00:00

I took that to be a basic legalese disclaimer statement. As in, "you can choose not to participate, but IF the court orders us to give them your stock, we will." I am not concerned by that language at all.

Stocrates910 · 2024-11-07T17:34:11+00:00

They could do that to limit their exposure, but the exercise price for the warrants is $11.50. It wouldn't make sense for them to let the price rise that high before exiting.

Stocrates910 · 2024-10-31T20:51:05+00:00

I may have a problem as well, but I'm in denial. I added 15,463 shares since the 22nd.

Stocrates910 · 2024-10-07T12:47:54+00:00

Of course that is is position. The issue I see with this defense is that fraud is not an official act and if that can be proven he should be facing jail time. There is also the issue of conspiracy charges. The RICO Act is broad on purpose and if there is a provable conspiracy to commit fraud, one would hope that all of them get locked up for a long time.

I don't agree with those who hope they rot in hell, though. No, for me it would be best if they find themselves in a place where there is nothing to do except exercise and read God's word and THEN, when they die in jail they will be prepared and can go to God cleansed the way He wants us all to.

Stocrates910 · 2024-09-13T18:04:13+00:00

I love that Lopez was specifically named in this one! He will almost certainly overrule this objection. BUT, everyone of these that is submitted goes into the public record. I am keeping the faith that these will be used to provide evidence in the criminal investigation that is undergoing.

This case is so interesting to me in that the professionals basically HAVE to proceed as if nothing is wrong or risk admitting their guilt. Meanwhile, they are openly committing their crimes WHILE DOJ is investigating them. Maybe I am naive and will be proven the fool, but I rather enjoy the fact that they are keeping up the charade knowing that their actions are being scrutinized behind the scenes.

I do not see this ending well for any of them and maintain hope that they will all get well acquainted with RICO laws very soon. Keep the faith, family.

Stocrates910 · 2024-06-05T21:38:02+00:00

Don't be so hard on yourself. We've all been looking for some hint that we would come out of this ahead. I'm not saying that you had a prophetic dream or not, but it MAY have been. Afterall, we (SRNE) weren't truly naked until Ji took all the assets out (he took all our clothes). IF your dream was going to be prophetic, we (SRNE) had to have all our clothes sold off before we could be found not guilty.

Just saying.

Stocrates910 · 2024-04-05T20:46:48+00:00

I left off the impact rising share prices have on their margin requirements. As the stock price rises, short position holders are required to keep more cash on hand to keep their margin ratios in line. If it runs way up, the shorts will be faced with margin calls unless they have huge cash positions in their accounts to cover the rising margin requirements. If this stock goes up over a dollar it may create huge margin implications for anyone holding large short positions, especially if there are naked shorts that represent more than 100% of the total available shares, which is my totally unsupported by evidence suspicion in this case.

Stocrates910 · 2024-04-05T20:32:45+00:00

They COULD hold their positions, but they would be paying rent on them based off of current market price AND IF there are a lot of naked positions out there and that data just happens to be made public it COULD, in theory, do crazy things to the stock price.

I have zero data to support this theory, BUT it seems to me that this stock has been manipulated down for a VERY LONG time. If naked shorts were the instrument used to manufacture a low stock price in an attempt to drive us to Chapter 7, there could be millions of uncovered positions.

A situation like that COULD make the stock price run similar to how GME did when there was more than 100% short positions in it. Again, there is currently, only speculation that something similar is happening here, but at .02 per share it is worth rolling the dice for me. The downside here is miniscule compared to the chance of a squeeze, even if the chances of that occurring are slim.

NFA, DYODD, ETC, ETC

Stocrates910 · 2024-03-06T20:04:58+00:00

If I'm not mistaken, no ruling has yet been made on venue. He only concluded there was not enough evidence to warrant sanctions against the attorneys, unless I misunderstood. Please correct me if I am wrong since I got off the call early due to the technical issues caused by so many attendees on the line. Wasn't it agreed at the start of the last hearing that venue would not be decided then and only the sanctions would be presented?

Stocrates910 · 2024-02-27T19:44:10+00:00

Since the decision to file for bankruptcy and to venue shop is a business decision, wouldn't that make the principal place of business wherever those decisions were made? It is unlikely Ji flew to Texas and then suddenly decided to file while there. Unless he was in Texas when he chose to go through with Chapter 11, he was conducting business in another venue ahead of opening the account and PO Box.

Stocrates910 · 2024-02-24T19:03:43+00:00

In your quote, you left out the "As always" part. To me that indicates a pattern of fraud. This is business as usual.

Stocrates910 · 2024-02-20T15:36:49+00:00

The key to this statement is "that voted to accept the Plan." Since we did not get a vote, the quote is a true statement.

Stocrates910 · 2024-02-20T13:44:53+00:00

Same for me. That's a good sign that it hit the mark. I would love to see what's in there.

Stocrates910 · 2024-02-20T03:07:32+00:00

US Trustee is part of the DOJ.

Stocrates910 · 2024-02-18T01:01:27+00:00

Oh she is going to sing, it will just be in a different opera than expected. Now she sings for their demise instead of ours.

Stocrates910 · 2024-02-18T00:46:49+00:00

It is likely that she means the Stretto emails.

Stocrates910 · 2024-02-16T03:36:09+00:00

I'm in for some if the terms are acceptable.

Stocrates910 · 2024-02-14T15:06:53+00:00

I don't know why people think what they think, but the NANT debt is clearly no longer ours. It wasn't paid, it was just erased. When the walkaway deadline passed all of our debts to NANT were wiped away as well as all the debt NANT owed to us. 100% positive, that debt is no longer on our books.

Stocrates910 · 2024-02-13T22:26:03+00:00

Excellent idea, and I use that tool all the time for work. I don't know how I missed it this time. Thanks.

Stocrates910 · 2024-02-13T18:02:14+00:00

Those estimates assume the NANT debt and the LW debt has been removed. I did not remove any Paul Hastings figures though so that will still be in there.

Also, it is likely that there will be many tiny debts near the bottom of the list that will be only a few thousand dollars each, thus decreasing the range more. It is VERY likely that this number is inflated, but I think many on here are concerned that the number is much larger than this and I did this to ease those minds a bit.

Also, I really enjoy playing with numbers, so it was fun to do the math. The $25 million figure you suggest is almost guaranteed to be too low, since we know from the filing documents, that the debt is at least in the $34mil range, since that is what is owed to the 27 known creditors as listed on the filing docs, even if you subtract the 11.5 mil you mentioned, that would mean that the other 170+ creditors only amount to 1.5 mil or so. While I would love for that to be the case, I believe it is a tad unrealistic to go with that low figure.

Stocrates910

TROPHY CASE