Company: CDT
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001641172-25-001246
Chunk: 506

Company: CDT Equity Inc.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 5
Chunk 506
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 permitted by law. In
connection with the Nirland Note, the Company has agreed to pay Nirland a 1% arrangement fee, which will be included with the
principal and interest owed under the Nirland Note. The Company paid down $0.2 million of the October 2024 Nirland Note on December
11, 2024 and as of the date of filing this Annual Report, such note has been repaid in full. Refer to Note 8 and Note 20 to our
financial statements included elsewhere in this Annual Report.

Working
Capital

We
currently anticipate that cash required for working capital for the next 12 months is approximately $22.9 million, which includes forecasted
research and development costs of $6.0 million, forecasted operating expenses of $6.2 million, accrued expenses and other current liabilities
of $3.4 million, a convertible promissory note payable, if not converted prior to maturity of $6.0 million, a convertible promissory
note, if not converted prior to maturity, of $0.8 million and loans payable due within the next 12 months of $0.5 million. We do anticipate
being able to fund required working capital for the next 12 months with cash and cash equivalents on hand and current borrowings. Management
believes that we will be able to fund cash required for the next 12 months through borrowings and equity raises. We have historically
been able to access funds through the issuance of debt, and more recently the at the market offering program agreement, and believe we
can continue to obtain funding through such debt financing agreements and Sales  agreement as needed to meet cash requirements
for the next 12 months.

As
of December 31, 2024, we have raised $3.3 million (net of fees) out of the $23.9 million available to us
through the Sales agreement and expect to raise the additional $20.4 million over the next 12 months.

Through the date of the issuance of the consolidated financial statements,
we have raised an additional $8.1 million, net of fees due to A.G.P., through the Sales Agreement. After considering the issuances subsequent
to December 31, 2024, we have $12.0 million available to us through the Sales Agreement.

64

Cash
Flows

The
following table set forth our cash flows for the period indicated (in thousands):

    Years ended December 31,