Company: SHPH
Filing Date: 2025-02-26
Form Type: 10-K
Source: 0001493152-25-008300
Chunk: 728

Company: Shuttle Pharmaceuticals Holdings, Inc.
Filing Date: 2025-02-26
Form: 10-K
Item: Item 3
Chunk 728
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 in the United States and in other countries. There can be no assurance
that patents issued to or licensed by the Company will not be challenged, invalidated or circumvented, or that the rights granted thereunder
will provide proprietary protection or competitive advantages to the Company now or in the future.

    F-6

Liquidity
and Going Concern

Our
consolidated financial statements are prepared on a going concern basis, which contemplates the realization of assets and the satisfaction
of liabilities and commitments in the normal course of business. The Company has incurred losses since inception and has a net loss of
approximately $9.1 million and no revenues for the year ended December 31, 2024 and working capital of approximately $0.7 million as
of December 31, 2024. The Company does not expect to generate positive cash flows from operating activities in the near future.

In
September 2024, the Company’s CEO provided $250
thousand to the Company in exchange for a promissory
note repayable in equal monthly installments of principal and interest over a term of one
year. In October 2024, the Company completed
an offering of senior secured convertible bridge notes, receiving $790
thousand in cash. The notes have a term of one-year
and were accompanied by 329,461
warrants with a weighted-average exercise price
of $1.42.
Also in October 2024, the Company completed an equity raise that provided $4.0
million in cash, net of placement agent fees of $0.5 million, for the issuance of 2.9
million shares / pre-funded warrants, and 2.9
million warrants with an exercise price of $1.40. However, the Company’s existing cash resources and the cash received from the equity offering and senior convertible
note are not expected to provide sufficient funds to carry out the Company’s operations and clinical trials through the next twelve
months.

The
ability of the Company to continue as a going concern is dependent upon its ability to continue to successfully raise additional equity
or debt financing to allow it to fund ongoing operations, conduct clinical trials and bring a drug candidate to commercialization to
generate revenues. These conditions raise substantial doubt about the Company’s ability to continue as a going concern within one
year after the date that the consolidated financial statements are issued.

The
accompanying consolidated financial statements do not include any adjustments to reflect the future effects on the recoverability and