Company: SHPH
Filing Date: 2025-04-21
Form Type: DEFR14A
Source: 0001641172-25-005474
Chunk: 42

Company: Shuttle Pharmaceuticals Holdings, Inc.
Filing Date: 2025-04-21
Form: DEFR14A
Chunk 42
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 upon conversion of convertible notes issued to      
 investors in our October 2024 private placement of convertible notes and warrants. The Company requires stockholder approval as the 
 conversion price of the October 2024 convertible notes is at a price less than the “Minimum Price” as defined in Nasdaq             
 Listing Rule 5635(d) and the number of shares issuable under the October 2024 Convertible Notes exceeds 20% of the Company’s        
 common stock then outstanding at the time of issuance of the convertible notes. The Board of Directors believes voting For Proposal 
 No. 6 is in the best interests of the Company as it will allow the Company to satisfy its debt obligations to the October 2024      
 convertible noteholders through payment of common stock upon conversion, rather than requiring the Company to expend cash which the 
 Company needs to support its ongoing Phase 2 clinical trial of Ropidoxuridine.                                                      
 The                                                                                                                                 
 Board of Directors therefore recommends you vote “FOR” the approval of the issuance in excess of 19.99% of the Company’s            
 common stock upon the conversion of the October 2024 convertible notes.                                                             |

We are seeking stockholder approval for the issuance of in excess of 19.99% of the Company’s common stock upon exercise of certain convertible notes (the “October 2024 Convertible Notes”) held by investors who participated in the October 2024 convertible note and warrant offering (the “October 2024 Convertible Note Offering”) pursuant to the terms of the October 2024 Convertible Notes.

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Description of the October 2024 Convertible Note and Warrant Offering

In October 2024, we entered into securities purchase agreements (the “Purchase Agreements”) with the selling stockholders (the “Investors”) and consummated the sale to such Investors of senior secured convertible notes (the “Convertible Notes”) for the total principal amount of $831,579, bearing interest at 14.5% per annum, and warrants (the “Warrants”) to purchase 329,461 shares of our common stock at a weighted-average exercise price of $1.42 per share. The October 2024 Convertible Note Offering had

The Convertible Notes were sold with a 5% original issue discount. As such, the Investors paid for the Convertible Notes by delivering $790,000 in total cash consideration to the Company. After deducting fees associated with the Private Placement, our estimated net cash proceeds were approximately $720