Company: CDT
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010405
Chunk: 141

Company: CDT Equity Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 2
Chunk 141
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 its sole discretion, may elect to have all or any portion of the outstanding principal amount and all
interest accrued converted into shares of the Company’s common stock, at the lower of the Reverse Split price and the market price
per share at the time of the conversion date, but in no event less than $1.00, subject to adjustment as provided therein and to take
into account any future share splits or reverse splits. However, the conversion of the A.G.P. Convertible Note may not occur prior to
the Company having sufficiently authorized shares of common stock to permit the entire conversion of the convertible promissory note.
Refer to Note 4 to our financial statements included elsewhere in this Quarterly Report on Form 10-Q.

On
March 31, 2025, A.G.P exercised their conversion option and converted $0.4 million of principal and interest for 430,000 shares of common
stock. As of March 31, 2025, $5.5 million of principal and interest remained outstanding.

Working
Capital

We currently anticipate that
cash required for working capital for the next 12 months is approximately $12.7 million, which includes forecasted research and development
costs of $1.3 million, forecasted general and administrative costs of $7.2 million, and a convertible promissory note payable, if not
converted prior to maturity of $4.2 million. We do anticipate being able to fund required working capital for the next 12 months with
cash and cash equivalents on hand and current borrowings. Management believes that we will be able to fund cash required for the next
12 months through borrowings and equity raises. We have historically been able to access funds through the issuance of debt, and more
recently the at the market offering program agreement, and believe we can continue to obtain funding through such debt financing agreements
and Sales agreement as needed to meet cash requirements for the next 12 months.

As of March 31, 2025, we had
raised $11.9 million (net of fees) out of the $23.9 million available to us through the Sales agreement and expect to raise the additional
$11.6 million (net of fees) over the next 12 months.

33

Cash
Flows

The
following table set forth our cash flows for the period indicated (in thousands):

    Three Months ended
                                                                                March 31, 

    2025  
    2024