Conduit Pharmaceuticals Inc. (NASDAQ:CDT), a pharmaceutical company, has entered into a series of financial agreements to secure funding totaling $1.2 million, according to a recent SEC filing. The transactions include issuing a promissory note and amending debt agreements, signaling a move to strengthen the company's financial position.
On Monday, the company entered into a Bridge Loan Agreement with A.G.P./Alliance Global Partners (NYSE:GLP), receiving an advance of up to $600,000. In exchange, Conduit Pharmaceuticals issued warrants for the purchase of approximately 2.86 million shares at $0.1048 per share. The warrants and the issuance of shares are pending stockholder approval, which the company aims to secure within 90 days.
Simultaneously, Conduit Pharmaceuticals issued a promissory note to Nirland Limited for $600,000, maturing on October 31, 2025, with a 12% annual interest rate. This note is part of an amendment to prior debt agreements between the two entities that now allows for the conversion of existing notes into common stock at Nirland's discretion and removes certain rights previously held by Nirland.
The company has also announced its intention to initiate an at-the-market offering to raise approximately $3.5 million. The initial proceeds from this offering are designated to repay the Bridge Note.
These financial maneuvers come as Conduit Pharmaceuticals works to navigate the capital-intensive pharmaceutical industry. The company's strategic efforts to manage its capital structure and generate liquidity are detailed in the SEC filing. This report is based on a press release statement and the factual information provided therein.
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