Company: CDT
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001641172-25-001246
Chunk: 844

Company: CDT Equity Inc.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 9B
Chunk 844
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 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.

    F-8

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 from royalties or product sales.

The
Company licenses clinical assets from AstraZeneca. See Note 10. 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 Correspondence and Subsequent Nasdaq Capital Market Listing. See note 20 for further
details.

Summary
of Significant Accounting Policies

Cash
and Cash Equivalents

Cash
and cash equivalents are primarily maintained with major financial institutions in the United States, United Kingdom, and Switzerland.
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 Switzerland bank accounts holding cash balances are uninsured, and the UK bank account, with a year-end balance of approximately
£100,000 (or approximately $125,000) exceeds the country’s deposit limit of £85,000 (approximately $107,000). The Company’s
US depository bank participates in the Demand Deposit Marketplace program, insuring deposits up to $10 million by sweeping amounts in
excess of the $250