Quantum Cyber (QUCY) Registration Filing summary

Company overview and business model

• Develops and markets in-vitro diagnostic (IVD) tests for early cancer detection, focusing on colorectal cancer (CRC) and advanced precancerous lesions.

• Flagship product, ColoAlert, is CE-IVD certified and available in Europe; next-generation mRNA-based CRC screening test in development for US/EU launch.

• Business model centers on distributing IVD kits to third-party labs in Europe and the US, with R&D aimed at expanding the product portfolio.

• Recent strategic realignment focuses on ColoAlert in Europe, next-gen product development, and US clinical studies.

Financial performance and metrics

• Six months ended June 30, 2024: revenues $520,773, gross profit $319,038, operating loss $(9,807,328), net loss $(11,023,762).

• Year ended December 31, 2023: revenues $895,479, operating loss $(14,413,646), net loss $(14,812,643).

• Cash as of June 30, 2024: $977,764; total current assets $2,389,703; total liabilities $12,592,730; working deficit $(7,624,241).

• Pro forma as adjusted for the offering: cash $15,519,191, total capitalization $17,306,968.

Use of proceeds and capital allocation

• Estimated net proceeds of $7,125,000 (assuming full offering) after fees and expenses.

• Proceeds intended for the eAArly Detect 2 study, next-gen screening product development, commercial expansion of ColoAlert, repayment of convertible debt, and general corporate purposes.

• Immediate payment of ~$420,000 on convertible debenture post-closing, with subsequent monthly payments of $100,000 starting January 2025.