Company: CDT
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001493152-25-022373
Chunk: 5

Company: CDT Equity Inc.
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 8
Chunk 5
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 Bid Price Rule.
There is no guarantee that the Company can maintain ongoing compliance with the Bid Price Rule. On May 15, 2025, the Company received
formal notice from Nasdaq that the Company had regained compliance with Nasdaq’s minimum bid price requirement (the “Bid
Price Requirement”) set forth in Nasdaq Listing Rule 5550(a)(2), as well as Nasdaq’s stockholders’ equity requirement
(“Equity Requirement”) set forth in Nasdaq Listing Rule 5550(b)(1). On May 21, 2025, the Company received formal notice from
Nasdaq that the Company’s application to transfer the listing of its Common Stock to The Nasdaq Capital Market had been approved
and the Company’s securities were transferred to The Nasdaq Capital Market at the opening of business on May 23, 2025.

    7

Summary
of Significant Accounting Policies

Use
of Estimates

The
preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the
reported amounts of assets and liabilities and related disclosures of contingent assets and liabilities at the date of the financial
statements as well as the reported amounts of revenues and expenses during the reporting period. Estimates are based on several factors
including the facts and circumstances available at the time the estimates are made, historical experience, risk of loss, general economic
conditions and trends, and the assessment of the probable future outcome. Actual results could differ materially from such estimates.
Estimates and assumptions are reviewed periodically by management and changes in estimates are made as management becomes aware of changes
in circumstances surrounding the estimates. The effects of changes are reflected in the financial statements in the period that they
are determined. Our significant accounting policies that involve significant judgment and estimates include accounting for the fair
value of convertible notes payable, stock based compensation, contingencies and going concern.

Cash
and Cash Equivalents

Cash
and cash equivalents are primarily maintained with major financial institutions in the United States and the United Kingdom. The Company
considers cash equivalents to be short-term, highly liquid investments that (a) are readily convertible into known amounts of cash, (b)
are traded and held for cash management purposes, and (c) have original maturities of three months or less at the time of purchase. The
UK bank account, with a balance at September 30, 2025 of approximately £124,000 (or approximately $167,000) exceeds the country’s