KALA BIO Seeks Approval for Reverse Stock Split Up to 1-for-300 to Regain Nasdaq Compliance
KALA sits 20% above its 52-week low of $0.49 on light trading volume (0.3× avg).
Summary
KALA BIO's preliminary proxy seeks shareholder approval for a reverse stock split of up to 1-for-300 to address Nasdaq delisting, alongside auditor ratification and director elections at the November 3 annual meeting.
Key Events · Corporate Governance and Compliance · KALA
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Reverse Stock Split Proposal
Proposal 4 seeks approval for a reverse split at a ratio of 1-for-2 to 1-for-300, with the board holding discretion on the exact ratio and timing. At the maximum ratio, the 19.3 million outstanding shares would consolidate to approximately 64,000 shares.
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Nasdaq Delisting Pressure
The reverse split is intended to support compliance with Nasdaq continued listing requirements after the company received a delisting determination on August 28, 2026 for trading below $1.00 for 30 consecutive business days.
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Auditor Ratification
Proposal 3 ratifies HTL International, LLC as independent auditor for fiscal 2026, following the December 15, 2025 dismissal of Deloitte & Touche LLP. Deloitte's reports for 2023 and 2024 contained no adverse opinions or disagreements.
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Director Elections
Yonatan Colman and Brendan Purdy are nominated for election as Class III directors for terms ending at the 2029 annual meeting. Both have served on the board since January 30, 2026.
Analysis · KALA · Life Sciences
KALA BIO is asking shareholders to approve a reverse stock split at a ratio between 1-for-2 and 1-for-300, with the board holding discretion on the exact ratio and timing. The company received a Nasdaq delisting determination on August 28, 2026 after trading below $1.00 for 30 consecutive business days, and this reverse split is the primary mechanism to regain compliance. The stock currently trades at $0.59, and a 1-for-300 split would reduce the 19.3 million outstanding shares to roughly 64,000 shares, dramatically shrinking the float. The proxy also ratifies HTL International as the new auditor following the December 2025 dismissal of Deloitte, and elects two Class III directors. The board's recommendation to approve the reverse split signals urgency around the Nasdaq listing, but the wide ratio range gives management significant flexibility that could result in extreme share consolidation.
How filings like this one have moved
In the 30 days to Sep 11, 2026, 35.7% of the 1694 measured filings Wiseek scored 8 moved their stock by 5% or more by the next session's close. The median move was -0.10%. 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, KALA was trading at $0.59 on NASDAQ in the Life Sciences sector, with a market capitalization of approximately $11.1M. The 52-week trading range was $0.49 to $1,030.00. This filing was assessed with negative market sentiment and an importance score of 8 out of 10.