CytoDyn Inc. has announced an extension of the maturity dates for its secured convertible promissory notes, originally set to mature in 2026, by an additional 36 months. This decision was made in agreement with the noteholders, allowing the company to manage its financial obligations more effectively during a challenging economic period. The initial principal amounts of the notes were $28.5 million each, and the new maturity dates are now set for April 5, 2029, and April 23, 2029. As part of this agreement, CytoDyn will make monthly payments totaling $1 million in shares of common stock to the noteholders, calculated based on the lower of the previous trading day's closing price or the average of the closing prices for the previous five trading days. Additionally, the annual interest rate on both notes has been reduced to 5%. This strategic move is expected to provide the company with greater liquidity and flexibility in its operations, potentially leading to a positive impact on its stock price in the near future.

Press Release distribution

National Press Distribution across U.S. Media. Direct Access to Key Decision Making Editors.