Company: CDT
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001641172-25-001246
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Company: CDT Equity Inc.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 1A
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An
investment in our securities involves a high degree of risk. Investors should carefully consider the risks described below before making
an investment decision. Our business, prospects, financial condition, or operating results could be harmed by any of these risks, as
well as other risks not currently known to us or that we currently consider immaterial. The trading price of our securities could decline
due to any of these risks, and, as a result, stockholders may lose all or part of their investment. Certain statements in “Risk
Factors” are forward-looking statements. See “Cautionary Statement Regarding Forward-Looking Statements.”

29

Risks
Related to Our Business and Industry

We
have incurred significant net losses since our inception and we anticipate future losses and negative cash flow. It is uncertain if or
when we will become profitable.

We
have incurred net losses since our inception. Our net losses were $17.8 million for the year ended December 31, 2024 and $0.5 million
for the year ended December 31, 2023. As of December 31, 2024, we had an accumulated deficit of $29.1 million. We do not expect to generate
any significant revenues, if any, until we successfully complete adequate development of our first clinical asset. As of December 31,
2024, our clinical assets are still in development and have not been approved by the FDA or any other regulatory body.

We
have not yet demonstrated our ability to generate revenue, and we may never be able to produce revenues or operate on a profitable basis.
We expect to experience operating losses and negative cash flow for the foreseeable future. Even if we are able to commercialize our
technology, which may include licensing, we may never recover our research and development expenses.

Our
business is dependent on the successful development, regulatory approval, and commercialization of our clinical assets, in particular
a glucokinase activator which we believe is active in a range of autoimmune disorders, which we refer to as AZD1656, and a potent, irreversible
inhibitor of human Myeloperoxidase that has the potential to treat idiopathic male infertility, which we refer to as AZD5904.

The
success of our business, including our ability to finance our operations and generate any revenue in the future, will primarily depend
on the successful development, regulatory approval, and commercialization or partnering of our clinical assets. In the future, we may
also become dependent on