Group of CytoDyn Stockholders Shares Strategic Plan to Obtain Cancer Therapy Approval for Leronlimab

Rhea-AI Summary

A group of long-time stockholders of CytoDyn Inc. (OTC: CYDY) has announced a strategic plan to secure FDA approval for Leronlimab, a cancer therapy. They have nominated five experienced candidates for the Board, asserting that the current management's approach is ineffective. The plan aims to leverage precision medicine data, combine therapies, prioritize cancer targets, and partner with leading oncology companies. The Group believes this strategy could generate revenue and enhance shareholder value, urging stockholders to vote for their nominees on the WHITE proxy card.

Positive

• Proposed a comprehensive strategic plan to obtain FDA approval for cancer therapy Leronlimab.
• Aims to generate revenue through innovative use of precision medicine and strategic partnerships.
• Nominations of five experienced directors to improve governance and shareholder value.

Negative

• Current management's failures in establishing an effective plan have led to shareholder frustration.
• Accusations against incumbent leadership for focusing on personal compensation rather than company growth.

Plan Designed to Generate Much-Needed Revenue and Receive FDA Approval for Currently Mismanaged Drug

Believes Company Cannot Continue to Pursue Status Quo Strategy, Which Has Been Abjectly Discredited

NEW YORK--(BUSINESS WIRE)-- A group of long-time stockholders (the “Nominating Stockholders” or the “Group”) of CytoDyn Inc. (“CYDY or the “Company”) (OTC: CYDY) that has nominated five highly experienced director candidates to serve on the Company’s Board of Directors today announced its comprehensive strategic plan to obtain cancer therapy approval for Leronlimab. If implemented, the Group believes this plan would begin to generate much-needed revenue for CYDY and position the Company to earn FDA approval for the drug, while enhancing the value of all stockholders’ shares.

The Group’s strategy is designed to overcome current CYDY management’s failures to implement a coherent, effective plan to generate revenue and obtain FDA approval for Leronlimab. While the Group has tried to discuss the enormous potential of its oncological strategy to reinvigorate CYDY with the Board and management team, they have refused to meaningfully engage every step of the way. Instead, incumbent Company leadership has decided to focus on entrenching themselves and clinging to their outsized compensation packages at the expense of shareholders.

The Group’s approach to cancer therapy will be scientifically valid and extremely efficient and will be critical to unleashing the potential value of Leronlimab and the investments of all stockholders. The full plan can be found here, and highlights are as follows:

• Utilize real data based on precision medicine determination of Leronlimab binding cancers;
• Apply both combination therapy with complementary immune-oncology blockbuster drugs and adjuvant monotherapy in CCR5+ tumors;
• Prioritize cancer targets based on CCR5 expression; and
• Partner with leading oncology companies that lack a CCR5 asset like Leronlimab.

Dr. Bruce Patterson, one of the Group’s five nominees and a renowned virologist, pathologist, and cancer technology pioneer, stated: “We are excited to present our plan on how to maximize the value of Leronlimab and save the lives of countless cancer patients. We believe we have put in place a strategy that is not only executable but also best positions CYDY for future success and will repair the Company’s standing among the medical, regulatory, and investment communities. In order to protect the value of your investment in CYDY, we strongly you recommend you for our highly qualified director nominees on the WHITE proxy card today.”

Dr. Patterson added, “Immuno-oncology (IO) has revolutionized oncological therapy for many cancers and makes up one of the largest cancer drug market segments. However, CYDY’s Board and management have utterly failed to capitalize on this tremendous opportunity and have not publicly presented any strategic plan on how they might make Leronlimab a reality. On the other hand, our cancer program will combine the value that Leronlimab has as a potential adjuvant therapy following treatment with the urgent opportunities that exist in IO and in doing so, will create enormous value for CYDY and its stockholders. This carefully designed plan is critical to the Company’s success, and we are excited by the prospect of finally being able to implement it.”

The full text of the Group’s cancer therapy approval plan can be accessed at: www.advancingll.com/cancerplan

All CYDY shareholders are reminded that your vote is essential to charting a course towards lasting value creation and holding the current Board and management team accountable for the immense value destruction they have overseen throughout their tenure. Help us enable CYDY to achieve its incredible potential by voting the WHITE proxy card to elect the Group’s five independent director nominees today.

Important Information

Paul Rosenbaum, Jeffrey Beaty, Arthur Wilmes, Thomas Errico, M.D., Bruce Patterson, M.D., Peter Staats, M.D., Melissa Yeager and CCTV Proxy Group, LLC (collectively the “Participants”) have filed a definitive proxy statement and accompanying WHITE proxy card with the Securities and Exchange Commission (the “SEC”) to be used in connection with the solicitation of proxies from the stockholders of CytoDyn Inc. (the “Company”). All stockholders are advised to read the definitive proxy statement and other documents related to the solicitation of proxies. The definitive proxy statement and an accompanying proxy card is available at no charge on the SEC’s website at http://www.sec.gov/. In addition, the Participants will provide copies of the proxy statement, without charge, upon request. Requests for copies should be directed to the Participants’ Proxy Solicitor, Okapi Partners LLC, by calling (844) 202-7428.

Disclaimer

This material does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein in any jurisdiction to any person. In addition, the discussions and opinions in this press release and the material contained herein are for general information only and are not intended to provide investment advice. All statements contained in this press release that are not clearly historical in nature or that depend on future events are “forward-looking statements,” which are not guarantees of future performance or results, and the words “anticipate,” “believe,” “expect,” “may,” “could,” and similar expressions are generally intended to identify forward-looking statements. Forward looking statements contained in this release are based on current expectations, speak only as of the date of this press release and involve risks that may cause the actual results to be materially different. Certain information included in this material is based on data obtained from sources considered to be reliable. No representation is made with respect to the accuracy or completeness of such data. The Participants disclaim any obligation to update the information herein and reserve the right to change any of their opinions expressed herein at any time as it deems appropriate.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210924005240/en/

Media

Mark Semer/Sam Cohen

Gasthalter & Co.

(212) 257-4170

cydy@gasthalter.com



Investors

Bruce Goldfarb/Chuck Garske

Okapi Partners

(212) 297-0720

info@okapipartners.com

Source: Gasthalter & Co. on behalf of CytoDyn Inc. shareholders

FAQ

What is CytoDyn's strategic plan for Leronlimab?

CytoDyn's stockholders propose a plan to secure FDA approval for Leronlimab by utilizing precision medicine and forming partnerships with leading oncology firms.

Who are the nominees for CytoDyn's Board of Directors?

The nominees include five experienced candidates nominated by a group of stockholders aiming to improve the company's strategic direction.

Why are stockholders dissatisfied with CytoDyn's current management?

Stockholders are frustrated due to perceived failures in management's strategy to generate revenue and secure FDA approval for Leronlimab.

What should CytoDyn shareholders do regarding the proxy vote?

Shareholders are encouraged to vote for the independent director nominees on the WHITE proxy card to support the proposed strategic plan.

What key elements are in the proposed cancer therapy plan for CytoDyn?

The plan includes real data analysis, combination therapy applications, prioritization of cancer targets, and strategic partnerships.