Company: CDT
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010405
Chunk: 99

Company: CDT Equity Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 8
Chunk 99
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 Board. The 2023 Plan allows for awards to be issued to employees and non-employee directors
in the form of options, stock appreciation rights, restricted stock, restricted stock units (“RSUs”), performance stock units,
dividend equivalents, other stock-based, or other cash-based awards. As of March 31, 2025, there were 154,544 shares of Common
Stock available for issuance under the 2023 Plan.

On
March 30, 2025, certain non-employee directors elected to receive their unpaid cash retainers due as of March 31, 2025, and cash
retainers owed for the period from April 1, 2025 to June 30, 2025, under the Director Compensation Program, in the form of fully
vested shares of Common Stock. In total, $0.1 million
of unpaid retainers was settled through the issuance 155,257 unregistered shares
of Common Stock (the “Retainer Shares”). The Company recorded the Retainer Shares at their fair value, as determined by
intraday share prices of the Company’s Common Stock on March 31, 2025. The fair value of the shares issued for cash
retainers due as of March 31, 2025, $78,000, was recorded within general & administration expense in the condensed consolidated
statement of operations and comprehensive loss. The fair value of the shares issued for cash retainers owed for the period from
April 1, 2025 to June 30, 2025, $58,000, was recorded as a prepaid expense in the condensed consolidated balance sheets.

Restricted
Stock

No
RSU’s or shares of restricted common stock were granted during the three months ended March 31, 2025 and March 31, 2024. There
were 745 shares of restricted common stock vested as of March 31, 2025 and no RSUs vested as of March 31, 2024.

    20

Stock
Options

The
Company estimates the fair value of each option award on the date of grant using the Black-Scholes option-pricing model. The Company
then recognizes the grant date fair value of each option as compensation expense ratably using the straight-line attribution method over
the service period (generally the vesting period). The Black-Scholes model incorporates the following assumptions:

    ●
    Expected
    volatility – the