Oramed Pharmaceuticals Restructures Scilex Notes via Warrant Deal

The latest announcement is out from Oramed Pharm ( (ORMP) ).

On February 19, 2026, Oramed Pharmaceuticals entered into a Warrant Agreement with Scilex Holding Company, under which Oramed deferred an amortization payment due October 1, 2025 on Scilex’s Tranche B senior secured convertible notes in exchange for a new warrant to purchase 100,000 shares of Scilex common stock at an initial exercise price of $20 per share, with the deferred payment ultimately made in November 2025. The immediately exercisable warrant, which expires on December 13, 2029, includes anti-dilution and cashless exercise features, ownership caps between 4.99% and 9.99%, and protections in change-of-control or other fundamental transactions that could require Scilex or a successor to honor or repurchase the warrant, enhancing Oramed’s potential upside and downside protection from its Scilex investment.

Scilex agreed to register, or include in another registration, the resale of the warrant shares under the Securities Act within specified timeframes tied to its 2025 Form 10-K filing, supporting future liquidity for Oramed’s position. The Warrant Agreement also includes customary representations, warranties and structural protections, reinforcing Oramed’s strategic and contractually safeguarded exposure to Scilex’s equity while restructuring the timing and terms of its credit-related proceeds.

The most recent analyst rating on (ORMP) stock is a Buy with a $4.00 price target. To see the full list of analyst forecasts on Oramed Pharm stock, see the ORMP Stock Forecast page.

Spark’s Take on ORMP Stock

According to Spark, TipRanks’ AI Analyst, ORMP is a Neutral.

Overall score reflects strong solvency and recent positive corporate actions, partially offset by weak underlying operations and ongoing cash burn; technicals are constructive but appear overextended, while valuation looks optically low given volatile earnings quality.

To see Spark’s full report on ORMP stock, click here.

More about Oramed Pharm

Oramed Pharmaceuticals Inc. is a biopharmaceutical company focused on developing and investing in therapeutic products, with an emphasis on innovative drug delivery and strategic holdings in healthcare-related securities. The company’s portfolio includes financial interests in other life sciences firms, such as Scilex Holding Company, through instruments like senior secured convertible notes and equity-linked securities.

Average Trading Volume: 231,662

Technical Sentiment Signal: Buy

Current Market Cap: $131.3M

For detailed information about ORMP stock, go to TipRanks’ Stock Analysis page.