Company: TVRD
Filing Date: 2025-11-13
Form Type: 424B3
Source: 0001104659-25-111336
Chunk: 47

Company: Tvardi Therapeutics, Inc.
Filing Date: 2025-11-13
Form: 424B3
Chunk 47
---
 the Merger Agreement; |

| ● | Legacy Tvardi’s outstanding Convertible Notes converted into 1,265,757 shares of Tvardi common stock in the aggregate, pursuant to the terms of the Convertible Notes; and |

| ● | all outstanding and unexercised options to purchase shares of Legacy Tvardi common stock were assumed by Tvardi and converted into options to purchase shares of Tvardi common stock based on the Exchange Ratio. |

<div align='center'>28</div>

Table of Contents

Immediately following the Merger, equity holders
of Legacy Tvardi prior to the Merger, including the holders of Convertible Notes, owned approximately 84.5% of the outstanding Tvardi
common stock on a fully diluted basis.

The Merger was accounted for as a reverse recapitalization
in accordance with accounting principles generally accepted in the United States (U.S. GAAP). Legacy Tvardi was deemed to be the accounting
acquirer for financial reporting purposes. Refer to Note 3, Merger Agreement, in the Notes to Condensed Consolidated Financial
Statements included elsewhere in this Quarterly Report.

In addition, on April 15, 2025, immediately
prior to the closing of the Merger, Cara (i) effected a 1-for-3 reverse stock split of its common stock and (ii) increased its
authorized shares of common stock to 150,000,000.

Upon the closing of the Merger, Tvardi’s 2025
Equity Incentive Plan (the 2025 Plan) and 2025 Employee Stock Purchase Plan (the 2025 ESPP), both approved during a special meeting of
Cara’s stockholders on April 1, 2025, also became effective, following the reverse stock split.

As of the Effective Time, there were 935,554 and
93,555 shares of Tvardi’s common stock available for grant under the 2025 Plan and 2025 ESPP, respectively. As of September 30,
2025, there was 551,221 shares of Tvardi’s common stock remaining available for grant under the 2025 Plan. As of September 30, 2025,
no offering periods under the 2025 ESPP had been initiated.

Convertible Notes

In December 2024, Legacy Tvardi entered into
a note purchase agreement, pursuant to which it issued and sold convertible promissory notes (the Convertible