Recent developments include the announcement of a merger agreement with Altaris, strong Q2 2026 earnings and revenue growth, and recognition among top biotech gainers in mid-2026.

• Simulations Plus announced a merger agreement with Altaris, LLC on June 15, 2026, subject to customary closing conditions including shareholder and regulatory approvals [S2].
• The company reported Q2 2026 earnings and revenues that increased year-over-year, leading to a rise in share price [N7][N8].
• Simulations Plus was highlighted among top biotech gainers in June 2026, indicating positive market interest [N1].

The company has demonstrated consistent revenue and earnings growth, as evidenced by recent quarterly results. Its strong liquidity position supports operational flexibility. The merger with Altaris could provide access to additional resources and strategic opportunities. The company's compliance with global data privacy regulations and cybersecurity oversight may enhance trust with clients and partners, supporting sustained demand for its software solutions.

The pending merger carries risks including potential delays or failure to close, which could disrupt business operations and affect relationships with customers, employees, and partners. Restrictions on business activities prior to closing may limit strategic initiatives. Transaction-related costs and possible litigation or regulatory challenges could impose financial and operational burdens. The delisting from Nasdaq post-merger may reduce public market visibility and liquidity for shareholders.

Simulations Plus benefits from a robust governance and cybersecurity infrastructure, ensuring compliance with stringent data privacy laws such as EU GDPR, UK GDPR, and China's PIPL. The company's specialized software solutions for biotech and pharmaceutical clients create a niche market position. Its strong liquidity and profitability provide financial stability. However, the pending merger introduces uncertainty that could affect operational continuity and stakeholder relationships.

• Merger Completion Risk: The merger with Altaris is subject to customary closing conditions including shareholder and regulatory approvals. Failure to satisfy these conditions could delay or prevent completion.
• Operational Disruption: The announcement and pendency of the merger may adversely affect relationships with customers, employees, business partners, and suppliers, potentially impacting operating results.
• Employee Retention Challenges: Retention of key employees may be difficult during the merger process, which could affect business continuity and performance.
• Business Conduct Restrictions: The merger agreement imposes restrictions on business conduct prior to closing, potentially limiting pursuit of certain opportunities or strategic initiatives.
• Transaction Costs and Litigation: Significant transaction-related costs are expected regardless of merger completion. Litigation or regulatory proceedings related to the merger could result in delays and additional expenses.

• Simulations Plus, Inc. is a publicly traded company on Nasdaq under ticker SLP.
• As of May 31, 2026, the company reported cash and cash equivalents of $35.3 million and short-term investments of $14.7 million, totaling $50 million in liquid assets [S2].
• Current assets as of May 31, 2026 were $75.1 million, with current liabilities of $13.6 million, resulting in a current ratio of 5.54 and a cash ratio of 3.68, indicating strong liquidity [S2].
• Net income for the quarter ending May 31, 2026 was $3.58 million, with basic and diluted EPS of $0.18 per share [S2].
• The company reported revenue of $18.3 million for the quarter ended February 29, 2024 [S2].
• Simulations Plus has a corporate governance structure with oversight of cybersecurity risks by the Board of Directors and a VP of Information Technology responsible for the security program, supported by legal, compliance, and finance leadership [S1].
• The company has a Personal Data Protection program compliant with EU GDPR, UK GDPR, China PIPL, and applicable state data privacy laws [S1].
• On June 15, 2026, Simulations Plus entered into a merger agreement to be acquired by Altaris, LLC, subject to customary closing conditions including shareholder and regulatory approvals [S2].
• The merger agreement includes risks such as potential delays or failure to complete the merger, adverse effects on relationships with customers and employees, restrictions on business conduct prior to closing, transaction-related costs, and possible litigation or regulatory proceedings [S2].
• The company has established a transaction bonus program for certain employees and executives contingent on the merger closing, totaling approximately $3.1 million [S2].
• Upon completion of the merger, Simulations Plus will become a wholly owned subsidiary of Altaris and its shares will be delisted from Nasdaq [S2].
• Recent news highlights include Simulations Plus' Q2 earnings and revenues increasing year-over-year, with shares rising following the announcement [N7][N8].
• The company has been featured among top biotech gainers in June 2026 [N1].