Cyclo Therapeutics Extends Merger Agreement and Maturity Dates

Cyclo Therapeutics, Inc. (NASDAQ: CYTH) recently announced updates to its merger agreement and convertible promissory notes in a filing with the US Securities and Exchange Commission. The company, based out of Gainesville, Florida, extended the Merger Agreement with Rafael Holdings, Inc., along with the maturity dates of its convertible promissory notes.

The Merger Agreement, initially entered into on August 21, 2024, involves Cyclo Therapeutics merging with two subsidiaries of Rafael Holdings. To provide more time for necessary approvals, the company and Rafael have prolonged the Agreement’s termination date from December 31, 2024, to February 15, 2025, as outlined in an Amendment to Agreement and Plan of Merger filed on December 18, 2024.

Simultaneously, amendments were made to the maturity dates of various convertible promissory notes held by Rafael. The maturity date, initially set for December 21, 2024, in notes totalling millions of dollars, has been extended to February 15, 2025. These adjustments aim to accommodate the evolving timelines and financial obligations associated with the merger process.

Additionally, on December 23, 2024, Rafael exercised conversion rights under an August Promissory Note, converting $2.5 million of the August Promissory Note into approximately 3.97 million shares of Cyclo Therapeutics common stock at a conversion price of $0.63 per share. Following this conversion, Rafael now holds roughly 39.5% of the company’s common stock.

The company’s actions underscore its commitment to successfully navigating the complexities of the merger process and ensuring the necessary financial arrangements are in place. These strategic moves are aimed at facilitating a smooth transition and supporting the company’s growth trajectory moving forward.

This report aligns with regulatory disclosure requirements and highlights Cyclo Therapeutics’ dedication to effective financial management and transparent communication with shareholders and stakeholders.

The full details of these transactions and agreements are available in the official filing with the SEC.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Cyclo Therapeutics’s 8K filing here.

About Cyclo Therapeutics

Cyclo Therapeutics, Inc, a clinical stage biotechnology company, engages in the development of cyclodextrin-based products for the treatment of neurodegenerative diseases. The company's lead drug candidate is Trappsol Cyclo (hydroxypropyl beta cyclodextrin), an orphan drug, which is in Phase III clinical trials for the treatment of Niemann-Pick Type C disease; and in Phase IIb clinical trials for the treatment of Alzheimer's disease.