Cyclacel Pharmaceuticals Announces Exploration of Potential Strategic Alternatives and Reduction of Operating Costs

BERKELEY HEIGHTS, NJ, December 05, 2024 (GLOBE NEWSWIRE) — Cyclacel Pharmaceuticals, Inc. (NASDAQ: CYCC, NASDAQ: CYCCP; “Cyclacel” or the “Company”), a biopharmaceutical company developing innovative anticancer medicines, today announced today that it is in the process of exploring and examining strategic alternatives on an accelerated basis in order to preserve the Company’s cash flow, including including a potential transaction with investor David Lazar of Activist Investing, LLC, which transaction would be subject to the consent of an existing security holder.

The company’s board of directors is considering a range of appropriate strategies to add value to its assets. The Board has asked management to reduce operating costs while such alternatives are explored. There can be no assurance that the exploration of strategic alternatives will result in any agreement or transaction, or as to the timing of any such agreement or transaction. Further, there can be no assurance that the Company will be able to reach an agreement or consummate any transaction with Mr. Lazar or receive the required consent from an existing security holder for any such transaction.

As previously stated, the Company does not currently meet the requirements for continued listing of the Nasdaq Stock Market and its securities could be delisted if the Company fails to return to compliance during the required compliance period. In the event that the Company is unable to complete a strategic transaction and/or obtain additional financing, it may be forced to cease all business activities. In such an event, the shareholders of the Company could lose part or all of their investment in the Company.

About Cyclacel Pharmaceuticals, Inc.

Cyclacel is a clinical-stage biopharmaceutical company developing innovative anticancer drugs based on cell cycle, transcriptional regulation and mitotic biology. The transcriptional regulation program is evaluating fadraciclib, a CDK2/9 inhibitor, and the antimitotic program plogosertib, a PLK1 inhibitor, in patients with both solid tumors and hematologic malignancies. Cyclacel’s strategy is to build a diversified biopharmaceutical business based on a pipeline of new drug candidates addressing oncology and hematology indications. For more information, please visit www.cyclacel.com.

Forward-looking statements

This press release contains certain forward-looking statements that involve risks and uncertainties that could cause actual results to be materially different from historical results or any future results expressed or implied by such forward-looking statements. These forward-looking statements include, among other things, statements relating to the Company’s exploration and review of strategic alternatives, its ability to identify and consummate a transaction following the strategic review process, including a potential transaction with David Lazar, to its plans to reduce costs and conserve cash and Cyclacel’s ability to regain and maintain compliance with Nasdaq’s continued listing requirements. We encourage you to consider statements that include the words “may”, “will”, “would”, “could”, “should”, “believes”, “estimates”, “projects”, “potential”, “is” expects”, “plans”, “anticipates”, “intends”, “continues”, “forecasts”, “designed”, “objective”, or the negative form of these words or other comparable words is uncertain and prospective. These risks and uncertainties include the risk that the Company may fail to explore strategic alternatives and complete one or more strategic transactions on attractive terms, if at all; actual reductions in the Company’s expenses compared to planned cost reductions; costs incurred by the Company in continuing to operate as a public company; and other risks described in more detail in Cyclacel Pharmaceuticals’ filings with the Securities and Exchange Commission, including the “Risk Factors” section of the Company’s Annual Report on Form 10-K for the fiscal year ending December 31, 2023 and its other documents filed thereafter. with or furnished to the Securities and Exchange Commission, including its Form 10-Q for the quarter ended September 30, 2024. For a more detailed list and description of the risks and uncertainties, the Company faces, please refer to our most recent annual report on Form 10-K and other periodic and other documents we file with the Securities and Exchange Commission and are available at www.sec.gov. These forward-looking statements speak only as of the date of. date on which they are made, and we undertake no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.

Contacts

Company: Paul McBarron, (908) 517-7330, (email protected)