Company: CDT
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001641172-25-024140
Chunk: 126

Company: CDT Equity Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 126
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 the Company entered into Addendum 2 to the Additional Agreement with Sarborg Limited, a related party. Under the terms
of Addendum 2, Sarborg will expand the scope of work and integrate a Cryptocurrency AI Agent, developed specifically for identifying,
forecasting and recommending digital currencies into CDT Equity’s Operations as part of its Treasury Strategy.

The Term of the Engagement
is for a minimum of four (4) months, which may be renewed or extended upon the mutual written agreement of the Parties. The initial consideration
for the Proposal for Expanded Scope of Work shall be $150,000, payable on execution of this Agreement. Conduit agrees to pay a further
consideration of $150,000 in cash or shares (at CDT Equity’s sole discretion) at such time as CDT Equity invests more than $600,000
in cryptocurrency as part of its Treasury Strategy.

Sarborg
is a related party, Dr. Andrew Regan, Chief Executive Officer and member of the Board, also sits on the board of directors of Sarborg
but does not have an equity interest in Sarborg.

30

Item
2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

The
following discussion and analysis of our financial condition and results of operations should be read in conjunction with the financial
statements and the related notes included under Part I, Item 1 of this Quarterly Report on Form 10-Q (this “Quarterly Report”)
as well as the Company’s audited financial statements and notes thereto included in its Annual Report on Form 10-K for the year
ended December 31, 2024 that was filed with the SEC on March 28, 2025. Certain information contained in the discussion and analysis set
forth below includes forward-looking statements that involve risks and uncertainties. The following discussion contains forward-looking
statements based upon current expectations that involve risks, uncertainties and assumptions. Our actual results may differ materially
from those anticipated in these forward-looking statements as a result of various factors, including those set forth under the section
titled “Risk Factors” or in other parts of this Quarterly Report. Our historical results are not necessarily indicative of
the results that may be expected for any period in the future. All dollar amounts are expressed in thousands of United States dollars
(“$”), unless otherwise indicated.

Overview

On
September 22, 2023, a merger transaction (the “Business Combination”) between Conduit Pharmaceuticals Limited (“Old
Conduit”),