Company: TVRD
Filing Date: 2025-02-14
Form Type: 424B3
Source: 0001104659-25-014310
Chunk: 416

Company: Tvardi Therapeutics, Inc.
Filing Date: 2025-02-14
Form: 424B3
Chunk 416
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 Additionally, Cara expects that it will issue 11,878,447 shares of Cara common stock in the Merger, assuming a 1-for-2 Reverse Stock Split to be implemented prior to the consummation of the Merger as may be adjusted and as discussed in this proxy statement/prospectus, including shares issuable upon conversion of the Convertible Notes, excluding any shares that may be issued in connection with the exercise of options assumed by Cara. Following the issuance of the shares of Cara common stock in the Merger and upon the approval of the Equity Plan Proposal and the ESPP Proposal, 1,562,441 shares of Cara common stock will be reserved for future issuance, and a total of approximately 131,536,425 shares of Cara common stock is expected to be available for future issuance assuming the approval of this Proposal No. 5.

The Cara Board believes it continues to be in Cara’s best interest to have sufficient additional authorized but unissued shares of Cara common stock available in order to provide flexibility for corporate action and strategic transactions in the future. Management believes that the availability of additional authorized shares for issuance from time to time in the Cara Board’s discretion in connection with future financings, investment opportunities, stock splits or dividends or for other corporate purposes is desirable in order to avoid repeated separate amendments to Cara’s amended and restated certificate of incorporation and the delay and expense incurred in holding special meetings of the stockholders to approve such amendments. We currently have no specific understandings, arrangements or agreements with respect to any future acquisitions that would require us to issue a material amount of new shares of Cara common stock. However, the Cara Board believes that the currently available unissued shares do not provide sufficient flexibility for corporate action in the future.

We will not solicit further authorization by vote of the stockholders for the issuance of the additional shares of Cara common stock proposed to be authorized, except as required by law, regulatory authorities or rules of Nasdaq or any other stock exchange on which the Cara common stock may then be listed. The issuance of additional shares of Cara common stock could have the effect of diluting existing stockholder earnings per share, book value per share and voting power. Cara stockholders do not have any preemptive right to purchase or subscribe for any part of any new or additional issuance of our securities.

In addition to the corporate purposes mentioned above, an increase in the authorized number shares of Cara common stock may make it more difficult to, or discourage an attempt to, obtain control of Cara by means of a takeover bid that