Company: CDT
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001641172-25-001246
Chunk: 46

Company: CDT Equity Inc.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 1A
Chunk 46
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 exercise of
the warrants in the near term. Whether any holders of Warrants determine to exercise such warrants, which would result in cash
proceeds to the Company, will likely depend upon the market price of our common stock at the time of any such holder’s
determination.

If
we are unable to raise additional capital when needed, we may be required to curtail the development of our technology or materially
curtail or reduce our operations. We could be forced to sell or dispose of our rights or assets. Any inability to raise adequate funds
on commercially reasonable terms could have a material adverse effect on our business, results of operations, and financial condition,
including the possibility that a lack of funds could cause our business to fail and our Company to dissolve and liquidate with little
or no return to investors.

We
will continue to incur significant increased costs as a result of operating as a public company, and our management will be required
to devote substantial time to new compliance initiatives.

As
a publicly traded company, we will incur significant legal, accounting, and other expenses under the Exchange Act, the Sarbanes-Oxley
Act, and other applicable securities rules and regulations. In addition, new and changing laws, regulations, and standards relating to
corporate governance and public disclosure, including the Dodd Frank Wall Street Reform and Consumer Protection Act and the rules and
regulations promulgated and to be promulgated thereunder, as well as under the Sarbanes-Oxley Act, the JOBS Act, and the rules and regulations
of the SEC and national securities exchanges have created uncertainty for public companies and increased the costs and the time that
our board of directors and management must devote to complying with these rules and regulations. We expect these rules and regulations
to increase our legal and financial compliance costs and will divert management time and attention from revenue generating activities.

Furthermore,
the need to establish the corporate infrastructure demanded of a public company may divert management’s attention from implementing
our growth strategy, which could prevent us from improving our business, results of operations, and financial condition. We have made,
and will continue to make, changes to our internal controls and procedures for financial reporting and accounting systems to meet our
reporting obligations as a publicly traded company. However, the measures we take may not be sufficient to satisfy our obligations as
a publicly traded company.

For
as long as we remain an “emerging growth company” as defined in the JOBS Act, we may take advantage of certain exemptions