Company: CDT
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001641172-25-001246
Chunk: 1125

Company: CDT Equity Inc.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 11
Chunk 1125
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 intend to vigorously defend against these claims. Regardless of its outcome, the litigation may impact our
business due to, among other things, legal costs and the diversion of the attention of our management.

    F-31

16.
Related Party Transactions

Corvus
Capital Limited

Corvus
Capital Limited (“Corvus”) is a significant investor in the Company through subscribing to 1,000 common
shares prior to the closing of the Merger on September 22, 2023. As discussed in Note 2, the shares held by Corvus on the closing
date of the Merger were exchanged for shares of Conduit Pharmaceuticals Inc. common stock. The Chief Executive Officer and principal
owner of Corvus is a member of Conduit’s board of directors. Occasionally, Corvus provides advisory services to the Company
and is paid a fee for the services. As of December 31, 2024, and December 31, 2023, no advisory fees were due to Corvus.

For
the years ended December 31, 2024 and 2023, the Company incurred director travel expenses payable to the board of directors member
of approximately $0.4 million
and $1.0 million,
respectively. As of December 31, 2024, and December 31, 2023, the Company did not owe the CEO of Corvus any director’s fees as
the CEO of Corvus and the Company agreed to cease director’s fees to the CEO of Corvus effective at the closing of the Merger.
Amounts owed to this director are included in accrued expenses and other current liabilities in the
balance sheet.

During
the year ended December 31, 2023, Corvus provided a $0.2 million cash contribution to the Company to maintain liquidity through the closing
of the Merger. There was no intention of repayment by both Corvus and the Company, and as such, the Company recorded the contribution
to the consolidated statement of changes in stockholders’ deficit.

During
January and February 2023, the Company issued convertible notes payable with an aggregate principal amount of $0.4
million (£0.3
million) to this related party. The convertible
notes payable mature three years after issuance and bear 5%
interest, only to be paid in the event of a material breach by the Company. In the event of a Change of Control, the convertible notes
payable automatically