Company: CDT
Filing Date: 2025-08-14
Form Type: 10-Q/A
Source: 0001641172-25-024123
Chunk: 39

Company: CDT Equity Inc.
Filing Date: 2025-08-14
Form: 10-Q/A
Chunk 39
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 2025 and noRSUs vested as of March 31, 2024.

| 21 |

Stock Options

The Company estimates the fair value of each option award on the date of grant using the Black-Scholes option-pricing model. The Company then recognizes the grant date fair value of each option as compensation expense ratably using the straight-line attribution method over the service period (generally the vesting period). The Black-Scholes model incorporates the following assumptions:

| ● | Expected                                                                                                                              
 volatility – the Company estimates the volatility of the share price of their peer companies at the date of grant using a “look-back” 
 period which coincides with the expected term, defined below. The Company believes using a “look-back” period which coincides         
 with the expected term is the most appropriate measure for determining expected volatility.                                           |
| ● | Expected                                                                                                                              
 term – the Company estimates the expected term using the “simplified” method outlined in SEC Staff Accounting Bulletin                
 No. 107, “Share-Based Payment.”                                                                                                       |
| ● | Risk-free                                                                                                                             
 interest rate – the Company estimates the risk- free interest rate using the U.S. Treasury Yield curve for periods equal to           
 the expected term of the options in effect at the time of grant.                                                                      |
| ● | Dividends                                                                                                                             
 – the Company uses an expected dividend yield of zero because the Company has not declared nor paid a cash dividend, nor are          
 there any plans to declare a dividend.                                                                                                |

The Company did not grant stock options during the three months ended March 31, 2025 or March 31, 2024.

The Company accounts for forfeitures as they occur, which may result in the reversal of compensation costs in subsequent periods as the forfeitures arise.

The following table summarizes stock option activity for the 2023 Plan:

Schedule of Stock Option Activity

|                                  |     | Number of Options |        |   |     | Weighted Average Exercise Price |       |     | Weighted Average Remaining Contractual Term (years) |      |     | Aggregate Intrinsic Value (in thousands) |   |
|:---------------------------------|:----|:------------------|-------:|:--|:----|:--------------------------------|------:|:----|:----------------------------------------------------|-----:|:----|:-----------------------------------------|:--|
| Outstanding at December 31, 2024 |     |                   | 65,509 |   |     | $                               | 81