Company: SHPH
Filing Date: 2025-04-22
Form Type: PRER14A
Source: 0001641172-25-005648
Chunk: 4

Company: Shuttle Pharmaceuticals Holdings, Inc.
Filing Date: 2025-04-22
Form: PRER14A
Chunk 4
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 selling such stock with a 19.99% issuance cap or conversion cap (the “Conversion                                                
 Cap”), as we are not permitted under Nasdaq rules to issue more than 20% of the then                                               
 outstanding common stock at a price below the “Minimum Bid Price,” as defined                                                      
 in Nasdaq Listing Rule 5635(d). In order to avoid any delay in completing our next offering,                                       
 and in order to avoid placing a Conversion Cap on the offering, we are seeking stockholder                                         
 approval in advance. The proposed terms of such offering, which may be adjusted prior to                                           
 closing, are detailed below.                                                                                                       
 The                                                                                                                                
 Board of Directors believes voting For this Proposal No. 7 is in the best interests of the Company as it will allow the Company    
 to quickly raise additional capital through an offering of our common stock or preferred stock convertible into common stock, and  
 thus provide us with the necessary capital to support our ongoing Phase 2 clinical trial of Ropidoxuridine.                        
 The                                                                                                                                
 Board of Directors therefore recommends you vote “FOR” the approval of the issuance in excess of 20% of the Company’s              
 common stock, whether issued through a common stock offering or a convertible preferred stock offering. The anticipated details of 
 such offering are described in more detail below.                                                                                  |

| 1 |

We are seeking stockholder approval for the issuance of in excess of 20% of the Company’s common stock either the sale and issuance of common stock at a price less than the “Minimum Price” or upon sale and subsequent conversion of convertible preferred stock. The Company requires such approval in order to ensure that we will be able to successfully obtain funding through a private placement of our securities in light of current market conditions.

Description of Anticipated Offering

We are presently intending to offer $6.0 million of convertible preferred stock, which stock will convert into common stock at a 10% floating discount to market, with the exact conversion price to be determined immediately prior to each conversion and thus, the final conversion price will vary based on market prices but in no event be greater than an 80% discount to the “Minimum Price,” as set forth in the securities purchase agreement (“Purchase Agreement”).

Purchase Agreement

The anticipated $6.0 million convertible preferred stock offering will be conducted pursuant to a Purchase Agreement and will convert at a 10% discount to market (pursuant to the terms of the Purchase Agreement), with the discount to be capped at an 80% discount