Company: CDT
Filing Date: 2025-02-14
Form Type: 424B3
Source: 0001493152-25-006960
Chunk: 8

Company: CDT Equity Inc.
Filing Date: 2025-02-14
Form: 424B3
Chunk 8
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 not be entitled to receive the Company’s Common Stock upon conversion, if such conversion would result in A.G.P. owning greater than 9.99% of the Company’s then currently outstanding Common Stock. A.G.P. is also entitled to resale registration rights as identified in the November Convertible Note.

The Company may prepay the November Convertible Note in whole or in part. The November Convertible Note contains customary default provisions for a transaction of this nature. In the event of certain Events of Default (as defined in the November Convertible Note), all outstanding principal and accrued interest under the November Convertible Note will become, or may become at A.G.P.’s election, immediately due and payable to A.G.P.

Sarborg Services Agreement

On December 12, 2024, Sarborg and the Company entered into the Sarborg Services Agreement in which Sarborg provides algorithmic and cybernetic technology services to the Company, including the development of decision-support tools and advanced cybernetic systems tailored to enhance the Company’s decision-making processes and maximize the value of its pharmaceutical asset portfolio. The Sarborg Services Agreement has an initial term of twelve months, commencing on the effective date, and may be renewed or extended upon mutual written agreement of the parties. In consideration of the services, the Company agreed to pay Sarborg an initial cash payment of $200,000 and $200,000 payable through the issuance of 22,727 Shares, determined by the closing price on the day preceding the execution of the Sarborg Services Agreement. Further milestone payments payable in conjunction with the achievement of certain milestones over the term of the Agreement, if achieved, totaling up to $1,800,000, are payable in cash or shares, at the discretion of the Company. Dr. Regan, a director and significant stockholder of the Company, is a director of Sarborg but has no other direct or indirect interest, or beneficial ownership of, Sarborg.

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The Miscellaneous Issuances

The Miscellaneous Issuances consist of private issuances over the course of the Company’s existence which consist of (i) 8,161 Shares issued pursuant to the Heilbron Consulting Agreement in which Mr. Heilbron accrued consulting fees of $75,000 and Mr. Heilbron agreed to payment via Shares of the Company which was computed by dividing the $75,000 fees accrued by the closing price of the Company’s Common Stock on November 18, 2024; (b) 27,812 Shares