Group of CytoDyn Stockholders Files Lawsuit to Force Company to Allow Stockholders to Vote for Alternative Director Nominees

A group of long-time stockholders of CytoDyn Inc. (CYDY) filed a lawsuit in the Delaware Court of Chancery to allow voting on their nominated director candidates.

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08/26/2021 - 08:30 AM

Company Has Sought to Block Stockholders’ Right to Vote for Group’s Highly Qualified Nominees

NEW YORK--(BUSINESS WIRE)-- A group of long-time stockholders (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 that it has filed a lawsuit in the Delaware Court of Chancery seeking to force CYDY to allow stockholders to vote for the Group’s nominees. CYDY has previously filed litigation seeking to block the ability of stockholders to vote for the Group’s nominees as an alternative to the current CYDY Board and has issued several communications falsely stating that stockholders cannot do so.

The Group stated, “The current CytoDyn Board has repeatedly failed to secure FDA approval for the Company’s groundbreaking Leronlimab drug, which has the potential to improve the lives of people suffering from several conditions. Given the Board’s value-destructive failures and snowballing legal and regulatory issues, we have nominated five exceptionally qualified candidates to serve on the Board and utilize their considerable expertise to achieve the Company’s core objectives of obtaining FDA approval for Leronlimab and reinvigorating CYDY. We will not stand by while the incumbent Board and management team files meritless lawsuits and issues false press releases, in addition to their corrupt behaviors and efforts to entrench themselves, in order to continue collecting their outsized pay packages. The time has come for stockholders to have this choice and we will fight to protect the stockholders’ fundamental right to vote on CYDY’s leadership while the Company illegally and irresponsibly fights to deprive them from doing so. If the current Board and management team are confident in their performance to date, why are they afraid to let stockholders vote?”

The full complaint filed by the Group can be accessed at www.advancingLL.com/complaint.

CYDY previously commenced a meritless lawsuit in Federal Court in Delaware challenging the Group’s proxy materials. Acting at the direction of the Board, CYDY was clearly forum-shopping to avoid the Chancery Court where certain of the Board’s prior misconduct already has been condemned.

If elected, the Nominating Stockholders’ nominees – Thomas Errico, MD, Bruce Patterson, MD, Paul Rosenbaum, Peter Staats, MD MBA, and Melissa Yeager – will take the steps necessary to earn FDA approval for Leronlimab and enhance long-term value for all stockholders.

The Nominating Stockholders’ website at www.advancingll.com includes information about the nominees and the group’s platform. It will be continuously updated with additional information.

Important Information

Paul Rosenbaum, Jeffrey Beaty, Arthur Wilmes, Thomas Errico, M.D., Bruce Patterson, M.D., Peter Staats, M.D. MBA, 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 to solicit votes for the election of their slate of director nominees at the 2021 annual meeting of stockholders of CytoDyn Inc., a Delaware corporation. All stockholders of the Company are advised to read the definitive proxy statement and other documents related to the solicitation of proxies by the Participants. The definitive proxy statement and an accompanying proxy card is available at no charge on the SEC 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.