US biopharmaceutical development company CDT Equity Inc. (NASDAQ: CDT) said on Tuesday it has entered into a SAFE note with Pep'd Inc., a US-based peptide business.

The instrument will convert into Safe Preferred Stock upon Pep'd completing an Equity Financing, based on Pep'd capitalisation and a valuation cap of USD10m.

CDT said the investment aligns with its strategy of backing science-driven assets and reflects its interest in AI-enabled platforms used in therapeutic discovery, development, and delivery. Both companies intend to apply AI-based methods to identify and develop opportunities across the peptide sector, with the potential to support future assets and commercial prospects.

The US peptide market continues to grow, supported by consumer demand, clinical validation, and investment from major pharmaceutical companies. The global peptide therapeutics market was valued at USD140.9bn in 2025 and is projected to rise from USD164bn in 2026 to USD294.6bn by 2033, representing a CAGR of 8.7% from 2026 to 2033.

Pep'd operates a vertically integrated model combining telehealth, research, and compounding capabilities, giving it greater control over patient experience and product quality as regulation evolves.

CDT described the SAFE as a capital-efficient mechanism to gain exposure to peptide therapeutics, complementing its broader strategy of licensing, strategic M&A, and platform investments.