Company: INDP
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021759
Chunk: 26

Company: Indaptus Therapeutics, Inc.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 1
Chunk 26
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 combination appears to be tolerable at the current dose and schedule. The Combination Study will assess
safety, dose optimization, and early signs of anti-tumor activity in participants with advanced solid tumors, previously treated
with a checkpoint inhibitor or with tumors typically unresponsive to checkpoint inhibitors. Currently, we have paused enrollment
pending additional efficacy evaluations of the remaining participants and to further assess our next development options.

Under
the terms of the Supply Agreement, we will pay for all costs associated with the Combination Study (other than the cost of the BeOne
Product), BeOne will supply the BeOne Product to us for the purposes of the study, and we will supply Decoy20 for the purposes of the
Combination Study. The Supply Agreement will terminate upon the earlier of (i) the one-year anniversary of the date that we provide BeOne
with the Combination Study’s final clinical study report or (ii) the date of termination of the Combination Study, subject to early
termination in certain circumstances.

2

Impact
of Macroeconomic Conditions on our Operations

Economic
developments such as inflation, interest rates and tariffs have negatively affected the global financial markets and may reduce our ability
to access capital, which could negatively impact our short-term and long-term liquidity. The ultimate impact of current economic conditions
is highly uncertain and subject to change. While it is unknown how long these conditions will last and what the complete financial effect
will be to us, capital raise efforts and additional development of our technologies may be negatively affected. In addition, our business
operations expose us to risks associated with public health crises and epidemics/pandemics.

Components
of Operating Results

Research
and Development Expenses

Research
and development expenses account for a significant portion of our operating expenses. Research and development expenses consist primarily
of fees paid to contract research organizations, or CROs, and contract manufacturing organizations, or CMOs, as well as compensation
expenses for certain employees involved in the planning, managing, and analyzing the work of the CROs and CMOs and materials used for
research and development activities. We expense research and development costs as incurred.

We
accrue expenses for manufacturing, preclinical studies and clinical trial activities performed by third parties based on estimates of
services received and efforts expended pursuant to agreements with CROs, CMOs, and other outside service providers. We determine these
estimates based on contracted amounts applied to the proportion of work performed and determined through analysis with internal personnel
and