KALA BIO Announces 1-for-50 Reverse Stock Split
KALA has officially announced a 1-for-50 reverse stock split of its common shares, effective after market close on Friday. The company’s shares will continue trading on the Nasdaq Capital Market under the ticker symbol “KALA” and will begin trading on a split-adjusted basis on Monday.
The company also confirmed that the new CUSIP number following the reverse split will be 483119301.
Why KALA BIO Is Doing a Reverse Stock Split
The reverse stock split comes as the biotech company’s stock price has fallen sharply over the past year. Shares recently traded around $0.12, close to their 52-week low of $0.10, after declining nearly 97% in the last 12 months.
The move is largely aimed at improving the company’s share price and helping maintain compliance with Nasdaq listing requirements.
What the 1-for-50 Reverse Split Means
Under the approved reverse split:
- Every 50 existing shares will automatically convert into 1 share
- Shareholders do not need to take action for brokerage-held shares
- No fractional shares will be issued
- Eligible investors will receive cash payments instead of fractional shares
Share Count Impact
| Before Reverse Split | After Reverse Split |
|---|---|
| 929.49 Million Shares | Approx. 18.58 Million Shares |
The company’s adjusted market capitalization is estimated at around $107 million after the split.
Stockholder Approval and Board Authority
At a special stockholder meeting held on January 30, 2026, shareholders authorized the Board of Directors to implement a reverse stock split within a ratio range of:
- 1-for-2
to - 1-for-100
The board ultimately selected the 1-for-50 ratio.
Impact on Warrants and Equity Awards
KALA BIO stated that proportional adjustments will also apply to:
- Employee equity awards
- Warrants
- Convertible securities
- Exercise and conversion prices
This ensures existing contractual rights remain proportionally balanced after the split.
KALA BIO’s AI and Biotech Expansion
Apart from the reverse split announcement, KALA has recently expanded its AI-driven biotech initiatives.
The company announced:
- Deployment of its AI-powered Bionic Intelligence Research Agent
- Launch of the Researgency.ai platform
- Strategic collaboration with Younet AI
- Appointment of Dr. Saeid Babaei as Senior Scientific Advisor
The company says these initiatives are focused on improving biotechnology and pharmaceutical research through artificial intelligence.
About KALA BIO
KALA BIO is a clinical-stage biopharmaceutical company focused on developing innovative therapies and AI-enabled research solutions for healthcare and biotechnology applications.
