Waiting Sucks but we have all been doing this for years already!

Hi To All CYDY Investors, I have not posted much lately. There has been a slew of great posts about the science and MOA; even a glossary of terms! This board continues to be a great resource for tons of information. As some of you know I focus on the business side of things and let others share the scientific knowledge!

The reason for not posting lately is; to be frank, I have nothing new to contribute! The news has been astounding on the scientific side of the equation but not so much on the business side. However, I felt compelled to post.

I have been a CYDY investor for approximately 4.5 years. Unfortunately for me I accumulated the vast majority of shares in 2021 with an expectation that a BLA would be submitted for HIV-MDR. We all know what happened with that. I am not here to rehash that B.S. Nonetheless, I was convinced that staying with my investment of CYDY would payoff eventually because the science seemed so compelling.

Yes this has definitely been the case. Since I started in 2021; I can’t begin to quantify how many articles started to get published about what inhibiting the CCR5 can do to a variety of diseases. Those publications are “provocative” 🧐 for CYDY’s growth so I better wait to be rewarded for me investments to pay off.

What I didn’t expect at the time was how long we had to wait. It’s been a crazy ride. And I don’t want this post to be a history lesson on what we all had to endure to get to this point. But, I’ll say it took extraordinary courage and perseverance to stay invested and invest more good money into CYDY. Which I was able to do.

I know I said “Waiting Sucks” in my Title, and it has been a battle but it has provided opportunities to acquire more shares, get a new trusted leadership team and learn more about a space and molecules I never would have imagined. Yes, it cost me more money to invest but that is the chance I am willing to make.

To bring us up to “where the frick is the partnership at today?”:

“What are we freaking waiting for now”?

For me based on my experience the next strategic move is a Partnership. I have covered this topic ad nausea! The problem I have is the when?

I have been with five start-ups that got acquired and I was with Boston Scientific when we acquired two companies that impacted my area. They have acquired a ton more companies then two. Nonetheless, my experience getting acquired and acquiring other companies gave me a view point on when, how, and why companies got acquired or partnered with.

Unfortunately, none of us really know what is happening behind the scenes. We can only speculate and rely on clues and or experience to understand what business strategy might come next.

Clues for partnerships:

1. The company puts out information about partnerships in writing: Since 12/07/2022 we began to see the word Partnership in writing: Presentations, shareholder letters, Website and SEC filings. Plus, the occasional conference call.

I and others did not expect a partnership to materialize in 2023. Why? CYDY still had “warts” that needed to be removed: 1) The clinical Hold and 2) The Amarex settlement 3) NP/KK trial

I’m guessing in order those were the primary concerns potential partners may of had. All three are gone unless you want to include sentencing of NP/KK…. We have not received information from the Judge on that end. We all know for a fact that during the investigation and indictment process, CYDY was not involved in any charges and was purposely excluded by some of the wording in the indictments.

2. So that leaves clinical evidence. This wonderful 34 years of experience working with Cardiology companies has been a great guide on where companies are at, certainly not perfect guide. So when Dr. JL stated we have provocative data, I knew we needed more evidence to fully convince a BP to sign an agreement. Combine the numerous written comments on partnerships in presentations, Shareholder letters, PR’s and SEC filings tells me that at a minimum they have had interested BPs circulating in and out of high level conversations!

Then when the more definitive data started to roll in from fibrosis reduction and the survival outcomes of mTNBC; including the wording of Dr. JL about “ paradigm shifting” and “The Company continues to prioritize oncology in 2025, as we believe this indication holds the highest potential and shortest timeline for return on investment in the form of a partnership or drug approval.”

The “paradigm shifting” is the MOA and changing a tumor from cold to hot. This was the key to a slew of BP’s that market their PD-1/ PD-L1 inhibitors!! Based on my experience there is a 99% chance that as soon as CYDY Leadership knew the results and the MOA; they shared it with the BP’s that have expressed prior interest.

We all know that all of the data I just described above takes time to bubble up to us shareholders. In fact, it purposely can be suppressed until a company feels it is the right time to strategically share that data/MOA with the public. So it’s hard to say how long CYDY leadership has known and if and when they shared it with interested BP’s! My point being that: ESMO was not the first time other BP’s where exposed to this data/MOA.

3. In my entire history of being in the cardiac space; watching very closely deals we made and getting acquired five times and acquiring other companies; never had we brought a lawyer into any of these meetings in the early phase of these discussions. Lawyers were usually available near the end for verbal communication/clarification before finalizing a written agreement. So when we find out Tyler was in Munich my radar was saying this agreement is in the final formality stage! Certainly, not the beginning stages!

4. Drug development companies like CYDY usually partner with large BP’s. It is a conventional approach to this strategy. It’s also conventional that the initial partnership evolves into the acquisition. It just makes sense for CYDY to work with a BP to ramp up progress on the work CYDY is doing in Oncology

5. Finance and Speed These two are intertwined. In order to be fast, you need deep pockets to perform many tasks/objectives simultaneously. Why does speed matter? We NOW live in a world of AI and that has been associated with significantly faster development times for drug companies. We no longer live in a era of long runway times to develop a drug. It’s faster and drug companies that hear about your MOA will try and develop a similar MOA but develop it around the patent. You can’t just sit there and do one or two trials at a time. You gotta move faster and FUNDING provides the opportunity to get more resources to perform more tasks/objectives simultaneously.

The approximate $13 million that CYDY has is a drop in the bucket for R&D let alone operational costs that just went up because Hoffman cost more than Mitch Cohen. Plus, we begin enrolling on the CRC trial and the R&D spend will begin to climb (as it should).

6. In all nine of my start-up companies I worked for and three for my wife; all 12 had to raise capital at a minimum a year out. The capital raise enough funding anywhere from another 12-30 months worth of projected funding needs. Generally speaking, the vast majority was 12 -20 months of funding. But, to be clear you don’t wait for your funds to run out to begin networking and soliciting investors for more money. You do it early enough and close a new round of funding at a minimum 6 months before you are going run out of funds. And that’s cutting it close. 6A) CYDY has not asked us to authorize more shares. The fiscal year ends in 4 days. My gut says CYDY won’t ask for us to authorize more shares because they are on the cusp of announcing a partnership with non-diluted funds.

All of my thoughts are based on my experiences, however my experience with CYDY has been very unconventional (especially when NP was running the ship).

Yes, CYDY and a partnership deal being announced takes patience! Our time for that announcement is near and I have no choice but to wait.

Hugs to All Longs as we wait (ad nausea) for what I feel is inevitable The FREAKING PARTNERSHIP!!!

Love all the Longs ! Have a GREAT WEEK EVERYONE!