Company: CDT
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010405
Chunk: 72

Company: CDT Equity Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 8
Chunk 72
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 one new share of common stock, subject to the treatment of fractional shares as described below, without
any action on the part of the holders. All historical share and per-share amounts reflected throughout the accompanying consolidated
financial statements and other financial information in this Quarterly Report on Form 10-Q have been retroactively adjusted to reflect
the 2025 Reverse Stock Split as if the split occurred as of the earliest period presented. The Reverse Stock Split did not affect the
number of authorized shares of common stock or the par value of the common stock. No fractional shares were issued in connection with
the Reverse Stock Split. Stockholders who would otherwise have been entitled to receive fractional shares as a result of the Reverse
Stock Split were entitled to a cash payment in lieu thereof at a price equal to the fraction to which the stockholder would otherwise
be entitled multiplied by the closing price per share of the common stock (as adjusted to give effect to the Reverse Stock Split) on
The Nasdaq Global Market on January 24, 2025.

Other
Risks and Uncertainties

The
Company is subject to risks common to companies in the development stage and pharmaceutical industry including, but not limited to,
uncertainties related to pre-clinical and clinical outcomes competitor products, regulatory approvals, dependence on key products,
dependence on key suppliers and protection of intellectual property rights (see Note 15 for details on a claim against our AZD 1656
co-crystal patent). Clinical assets currently under development will require significant additional research and development
efforts, including extensive preclinical and clinical testing and regulatory approval prior to commercialization. These efforts will
require significant amounts of additional capital, adequate personnel, infrastructure, and extensive compliance and reporting
capabilities. Even if the Company’s efforts are successful, it is uncertain when, if ever, the Company will realize
significant revenue and cash flow from royalties or product sales.

The
Company licenses clinical assets from AstraZeneca. See Note 7. If there is a breach or other termination of such agreements, there could
be a material adverse effect on the Company’s business, financial condition, operating results, and prospects.

The
Company is also subject to risks associated with the Nasdaq Stock Market (“Nasdaq”) correspondence and subsequent Nasdaq
Capital Market Listing application.

In
August 2024, the Company received deficiency letters from Nasdaq notifying the Company that it was not in compliance with Listing
Rule 5450(a)(1) (the “Bid Price Rule