Pasithea Therapeutics Corp. a biotechnology company focused on the discovery, research and development of innovative treatments for central nervous system (CNS) disorders, announced that it has reached a comprehensive Settlement and Cooperation Agreement (“the Agreement”) with Concord IP2 Ltd., Elderhill Corporation, Leonite Capital LLC, Leonite Fund I, LP, Camac Partners, LLC, Camac Capital, LLC, Camac Fund, LP, David Delaney, Avi Geller, and Eric Shahinian (collectively, the “Camac Group”) resolving all outstanding issues between the parties.
Pursuant to the Agreement, the Camac Group has agreed to a three-year standstill provision and the parties have agreed to dismiss with prejudice the pending Delaware litigation against the Company and the Board filed by the Camac Group. Pasithea has agreed to purchase all 3,205,282 shares of the Company’s common stock held by the Camac Group at a price of $1.0003 per share, the equivalent to the 5-day volume-weighted average price of the Company’s common stock. Pasithea will also reimburse certain fees and expenses of the Camac Group.
Dr. Tiago Reis Marques, Pasithea’s Chief Executive Officer, stated “We are pleased to have reached this agreement with the Camac Group, which we believe is in the best interests of all stockholders and enables Pasithea to put this matter behind us and focus completely on our important work on behalf of patients. We are excited about Pasithea’s potential to advance our therapies and achieve value-creating milestones.”
Eric Shahinian of the Camac Group further commented, “We are pleased to have reached this settlement with Pasithea. We wish the Company well in the future.”
The Special Meeting of Stockholders (the “Special Meeting”) occurred on December 9, 2022. The preliminary results indicate that the current members of the Company’s Board of Directors (the “Board”) will continue to serve and oversee the Company’s business strategy.
Additional details will be disclosed in a Form 8-K with the Securities and Exchange Commission.