Sonoma Pharmaceuticals Terminates Material Agreement
Ticker: SNOA · Form: 8-K · Filed: Nov 21, 2024 · CIK: 1367083
Sentiment: neutral
Topics: agreement-termination, material-event
TL;DR
Sonoma Pharma just terminated a big deal, details TBD.
AI Summary
Sonoma Pharmaceuticals, Inc. announced on November 21, 2024, the termination of a material definitive agreement. The filing does not specify the counterparty or the nature of the agreement, but it is a significant event for the company.
Why It Matters
The termination of a material definitive agreement can significantly impact a company's operations, financial standing, and future strategic direction.
Risk Assessment
Risk Level: medium — Termination of a material agreement introduces uncertainty regarding the company's business relationships and financial stability.
Key Players & Entities
- Sonoma Pharmaceuticals, Inc. (company) — Registrant
- November 21, 2024 (date) — Date of Report
FAQ
What was the material definitive agreement that was terminated?
The filing states that a material definitive agreement was terminated, but does not specify the name or nature of the agreement.
Who was the counterparty to the terminated agreement?
The filing does not disclose the identity of the other party involved in the terminated material definitive agreement.
What is the effective date of the termination?
The filing indicates the termination was reported as of November 21, 2024, and the date of earliest event reported is also November 21, 2024.
Are there any financial implications mentioned due to this termination?
The provided excerpt does not detail any specific financial implications resulting from the termination of the agreement.
Does this termination affect any ongoing business operations of Sonoma Pharmaceuticals?
While the filing confirms the termination of a material agreement, it does not elaborate on the specific impact on the company's ongoing business operations.
Filing Stats: 763 words · 3 min read · ~3 pages · Grade level 15.2 · Accepted 2024-11-21 16:01:10
Filing Documents
- sonoma_8k.htm (8-K) — 29KB
- 0001683168-24-008332.txt ( ) — 201KB
- snoa-20241121.xsd (EX-101.SCH) — 3KB
- snoa-20241121_lab.xml (EX-101.LAB) — 33KB
- snoa-20241121_pre.xml (EX-101.PRE) — 24KB
- sonoma_8k_htm.xml (XML) — 4KB
02 Termination of a Material Definitive Agreement
Item 1.02 Termination of a Material Definitive Agreement. On March 26, 2021, we entered into an Exclusive Supply and Distribution Agreement with EMC Pharma, LLC ("EMC"). The Agreement gave EMC the exclusive right to sell and distribute our prescription dermatological and eye care products based on our Microcyn technology in the United States. Pursuant to the Agreement, EMC was required to purchase certain minimum product quantities and pay a quarterly royalty to retain the exclusive rights. The agreement had a five-year initial term, subject to mutual extension. Because EMC did not purchase the minimum product quantities required, following a 30-day cure period we exercised our right to terminate the Agreement, effective November 21, 2024. We did not incur any penalties in connection with the termination. Upon termination of the Agreement, Sonoma will resume selling each of its prescription dermatological and eye care products in the United States, including Acuicyn , Celacyn , Epicyn , Lasercyn , and Levicyn . Except for historical information herein, matters set forth in this report are forward-looking within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, including statements about the commercial and technology progress and future financial performance of the Company. These forward-looking statements are identified by the use of words such as "will," "develop," "project," "expect," and "expand," among others. Forward-looking statements in this report are subject to certain risks and uncertainties inherent in the Company's business that could cause actual results to vary, including such risks that regulatory clinical and guideline developments may change, scientific data may not be sufficient to meet regulatory standards or receipt of required regulatory clearances or approvals, clinical results may not be replicated in actual patient settings, protection offered by the Company's patents and patent applica
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. SONOMA PHARMACEUTICALS, INC. Date: November 21, 2024 By: /s/ Amy Trombly Name: Title: Amy Trombly Chief Executive Officer 3