Group of CytoDyn Stockolders Responds to Misleading Company News Release

Rhea-AI Summary

The Nominating Stockholders of CytoDyn Inc. (CYDY) have nominated five director candidates for the Company’s Board. They responded to CYDY's September 3, 2021 release, claiming it misrepresented a voluntary stipulation filed by the Nominating Stockholders in ongoing litigation. They argue that CYDY’s actions are a distraction from management issues and an attempt to prevent shareholders from voting for an alternative slate. The Nominating Stockholders emphasize their commitment to securities laws and encourage shareholders to focus on significant issues affecting the Company.

Positive

• The Nominating Stockholders demonstrated commitment to compliance by voluntarily correcting an oversight and submitting to the court.
• The call for an alternative slate of directors indicates a push for change in management.

Negative

• CYDY's management is accused of mismanagement and attempting to entrench themselves, which could harm shareholder interests.
• The Company's release is perceived as an attempt to distract from significant issues, indicating potential instability.

NEW YORK--(BUSINESS WIRE)-- A group of long-time stockholders (the “Nominating Stockholders”) 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 responded to a news release issued by CYDY on September 3, 2021 that completely misrepresented a voluntary stipulation filed by the Nominating Stockholders in the litigation initiated by the Company in the United States District Court. This misrepresentation is a blatant attempt to quash shareholders’ ability to vote for an alternate slate of directors.

The facts are that the Nominating Stockholders voluntarily corrected an unintentional oversight by filing two public communications with the SEC, and submitted to the court a short stipulation acknowledging their continued commitment to comply with the securities laws as a showing of good faith, which they asked the Court to so-order.

The Company’s release is just another example of its desperation and attempt to distract shareholders from the Board’s and management’s mismanagement of CYDY. The Nominating Stockholders are confident that the shareholders of CYDY can see past these continued attempts by the Company to create noise and urge them to focus on the very significant issues facing the Company.

It remains highly disturbing that CYDY continues to expend very significant resources to entrench itself and prevent shareholders from voting for an alternative slate of directors. Attempting to twist the continued good faith actions of the Nominating Stockholders in litigation that CYDY itself initiated simply illustrates desperation and fear to allow shareholders to make their rightful choice.

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/20210907005281/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 the recent development for CytoDyn Inc. (CYDY)?

A group of Nominating Stockholders has nominated five director candidates, responding to a perceived misrepresentation in a CYDY press release.

What did the Nominating Stockholders say about CYDY's management?

They accused CYDY's management of mismanagement and attempts to prevent shareholder voting on an alternative director slate.

What actions have the Nominating Stockholders taken regarding CYDY?

They filed a definitive proxy statement and a WHITE proxy card with the SEC for proxy solicitation.

When was the original press release from CYDY issued?

The press release from CYDY was issued on September 3, 2021.

How are the Nominating Stockholders defending their actions?

They emphasize their voluntary correction of an oversight and commitment to comply with securities laws.