Company: CDT
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001641172-25-001246
Chunk: 1189

Company: CDT Equity Inc.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 13
Chunk 1189
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 a similar asset in an
active market. 

The
PIPE Warrant and A.G.P. Warrant liabilities are calculated by multiplying the quoted market price of the Company’s publicly traded
warrants by the number of liability classified warrants.

On
December 11, 2024, the Company amended the exercise price of the PIPE Warrants to be $8.83,
at which time all PIPE Warrants were exercised. As the exercise price was amended on the same date that the PIPE Warrants were
exercised, the Company remeasured the warrant liability immediately before exercise based on the difference between the closing
stock price of the Company’s common stock on December 11, 2024, and the amendment exercise price of the PIPE Warrants,
resulting in a gain on the change in fair value of warrant liability of approximately $12
thousand. Refer to Note 18 for additional information. Upon exercise of the PIPE Warrants, less than $1
thousand of Level 2 liability classified warrants remain on the consolidated balance sheet as of December 31, 2024.

The
measurement of the A.G.P. 2024 Warrants is classified as Level 3 due to the use of an option-pricing model that utilizes unobservable inputs and requires significant judgement. The Company estimated
the fair value of the warrants issued as the issuance date, October 29, 2024, and as of December 31, 2024, using a Black-Scholes
option-pricing model utilizing the following assumptions:

Schedule
of Fair Value  of Assumptions

    October 29, 2024
      
    December 31, 2024 
  
    Closing stock price
     
    $
    10.48
      
    $6.90 
  
    Contractual exercise price
     
    $
    10
      
    $10.00 
  
    Risk-free rate

    4.11
    % 
     4.38%
  
    Estimated volatility

    98.4
    % 
     98.6%
  
    Time period to expiration (in years)

    5.2
      
     5.0 

4.
Balance Sheet Details – Current Assets

Current
assets consisted of the following as of December 31, 2024 and December 31, 2023 (in thousands):

 Schedule
of Balance Sheet Details

    As of