Company: CDT
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001641172-25-024140
Chunk: 90

Company: CDT Equity Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 90
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    $5,994 

The
following table presents additional information about the Convertible Notes Payable subject to measurement at fair value on a recurring
basis and warrant liabilities, for which the Company used significant unobservable inputs (Level 3) (in thousands):

 Schedule of Additional Information About the Financial Liabilities Subject To Measurement at Fair Value

    Convertible
                                               Notes
                                               Payable  
    Liability
                                                                  Classified
                                                                  Warrants 
  
    Balance
    as of December 31, 2024 
    $5,856  
    $138 
  
    Repayment
    of convertible notes 
     (1,054) 
     - 
  
    Change
    in fair value 
     (2,139) 
     (131)
  
    Balance as of March
    31, 2025 
    $2,663  
    $7 
  
    Beginning
    balance 
    $2,663  
    $7 

    Conversion of convertible notes 
     (1,872) 
     - 

    Interest expense 
     57  
     - 

    Change
    in fair value 
     1,034   
     (6)
  
    Balance
    as of June 30, 2025 
    $1,882  
    $1 
  
    Ending
    balance 
    $1,882  
    $1 

During
the three and six months ended June 30, 2025, there were no transfers between Level 1 and Level 2, nor into or out of Level 3.

Convertible
Notes Payable

As
discussed in Note 4, on October 31, 2024, the Company and Nirland agreed to amend the Senior Secured Promissory Note entered into by
the Company and Nirland on August 6, 2024 (the “August 2024 Nirland Note”), whereby the August 2024 Nirland Note was amended
to provide for the conversion of the August 2024 Nirland Note into shares of Common Stock, at Nirland’s discretion, in a multiple
of any unpaid amounts, if not otherwise previously paid, pursuant to the conversion rate contained therein. The August 2024 Nirland Note
was then amended for a second time on November 22, 2024. On February 12, 2025, the August 2024