BioRestorative CEO and CFO Resign, Claiming $2.85M Severance; Lender-Appointed Director Steps In as CEO
BRTX has more than doubled off its 52-week low of $0.159 on light trading volume (0.1× avg).
Summary
BioRestorative Therapies' CEO and CFO resigned, claiming a Change in Control and demanding $2.85M in severance. The board, now controlled by a lender-appointed director who became CEO, is investigating the employment agreements and withholding payments.
Key Events · Executive and Board Changes · BRTX
-
CEO and CFO Resign Claiming $2.85M Severance
CEO Lance Alstodt and CFO Robert Kristal resigned effective July 13, 2026, asserting 'Good Reason' and claiming a Change in Control occurred due to board changes in June 2026. They demand approximately $2.85 million in aggregate cash severance plus accelerated equity vesting.
-
Board Disputes Claims, Launches Investigation
The board has not accepted the validity of the employment agreements or the Change in Control assertions. It authorized an investigation by special counsel into the negotiation and approval of the agreements and is withholding all severance payments and benefits beyond accrued salary.
-
Lender-Appointed Director Becomes CEO
Katharyn Field, the director designated by the lender under the June 2026 $1 million loan agreement, was appointed CEO, President, and interim CFO on July 13, 2026. She is no longer considered independent under Nasdaq rules.
-
Director Resignation and Board Reconstitution
Director David Rosa resigned July 11, 2026. The board elected Esha Randhawa and Steven Brown as new independent directors and reconstituted its committees, with Randhawa chairing Nominating and Governance and Brown joining Compensation and Nominating committees.
Analysis · BRTX · Industrial Applications And Services
Effective July 13, 2026, BioRestorative Therapies' CEO Lance Alstodt and CFO Robert Kristal resigned, asserting 'Good Reason' under their employment agreements and claiming a Change in Control occurred when the board was reconstituted in June 2026 as part of a $1 million high-interest loan. They are demanding approximately $2.85 million in aggregate cash severance plus accelerated equity vesting. The board has not accepted the validity of the claims, has authorized an investigation into the negotiation of the employment agreements, and is withholding all payments beyond accrued salary. Simultaneously, director David Rosa resigned, and the board appointed Katharyn Field — the director designated by the lender under the June loan agreement — as CEO, President, and interim CFO. Two new independent directors were also elected. This represents a hostile takeover of the C-suite by the lender, a potential $2.85 million liability, and a governance crisis at a company already facing a going concern warning and Nasdaq delisting risk.
How filings like this one have moved
In the 30 days to Sep 17, 2026, 40.7% of the 383 measured filings Wiseek scored 9 moved their stock by 5% or more by the next session's close. The median move was -0.55%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, BRTX was trading at $0.35 on NASDAQ in the Industrial Applications And Services sector, with a market capitalization of approximately $8.9M. The 52-week trading range was $0.16 to $1.89. This filing was assessed with negative market sentiment and an importance score of 9 out of 10.