Material Event Form 8 K

Item 2.05. Costs Associated with Exit or Disposal Activities.

On September 12, 2024, Oncternal Therapeutics, Inc. ("Oncternal") announced a workforce reduction of approximately 10 employees, constituting approximately 37% of Oncternal's workforce. Oncternal is taking this action to reduce its operating expenses while maintaining core capabilities as Oncternal explores business development-related activities for Oncternal's clinical programs. The workforce reduction was unanimously approved by Oncternal's board of directors on September 11, 2024.

Oncternal currently estimates that it will incur charges associated with the workforce reduction of approximately $1.0 million primarily related to employee severance payments, benefits and related termination costs. Oncternal expects that the reduction in force will be substantially complete with the majority of related charges recognized in the third quarter of 2024.

The estimates of the charges and expenditures that Oncternal expects to incur in connection with the workforce reduction, and the timing thereof, are subject to several assumptions and the actual amounts incurred may differ materially from these estimates. In addition, Oncternal may incur other charges or cash expenditures not currently contemplated due to unanticipated events that may occur, including in connection with the implementation of the workforce reduction.