Company: CDT
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001641172-25-024140
Chunk: 76

Company: CDT Equity Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 76
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NOTES
TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

1.
Nature of the Business, Basis of Presentation and Summary of Significant Accounting Policies

CDT
Equity Inc., formerly Conduit Pharmaceuticals Inc., a Delaware corporation (“CDT” or the “Company”), is a
data-driven pharmaceutical development company focused on
identifying, enhancing, and advancing high-potential therapeutic assets through scientific innovation and strategic partnerships.
The company has evolved into a broader, more agile platform that leverages artificial intelligence, solid-form chemistry, and
efficient asset repositioning to accelerate the development of novel treatments.

Our
strategy is centered on unlocking the untapped value of clinical-stage compounds, particularly those deprioritized by larger pharmaceutical
companies with strong, supporting Phase I safety data. Through advanced co-crystallization and solid-form technologies developed at our
Cambridge facilities, we improve drug properties and extend patent life by up to 20 years. In partnership with Sarborg, we also apply
AI-powered disease mapping to rapidly identify new therapeutic applications for existing compounds.

Our
pipeline includes candidates that target autoimmune disorders, as well as idiopathic male infertility, oncology, dermatology, and animal
health. Ongoing in vitro and in vivo studies, guided by AI insights, are designed to support licensing and commercialization partnerships,
We will seek an exit through third-party license deals following successful in vitro and in vivo pre-clinical trials, entering into agreements
with third-parties to pursue further development, FDA approval, commercialization and marketing of our assets.

Operating
with a lean, asset-agnostic model, CDT Equity Inc. prioritizes speed, adaptability, and capital efficiency. We avoid the cost burden
of late-stage clinical trials, focusing instead on high-leverage development strategies.

On
September 22, 2023 (the “Closing Date”), a merger transaction between Conduit Pharmaceuticals Limited (“Old Conduit”),
Murphy Canyon Acquisition Corp (“MURF”) and Conduit Merger Sub, Inc., a Cayman Islands exempted company and a wholly owned
subsidiary of MURF (“Merger Sub”), was completed (the “Merger”) pursuant to the initial merger agreement dated
November 8, 2022 and subsequent amendments to the merger agreement dated January 27, 2023 and May 11, 2023 (the “Merger Agreement”).
Pursuant to the terms of the Merger Agreement, on the Closing Date, (i