Borealis Foods shares rise 10.74% premarket after reducing loan balance to meet credit agreement requirements.

Borealis Foods surged 10.74% in premarket trading after the company announced it had significantly reduced its revolving loan balance from $10.23 million to $3.55 million, addressing prior default notices from its lender. This reduction brought the company back within the borrowing base requirements of its credit agreement, alleviating concerns over financial instability. The move followed earlier reports of financial challenges linked to loan defaults, but the substantial repayment signaled improved liquidity and proactive debt management. While the firm reported a narrowed net loss in Q3 2025, the premarket rally suggests investors prioritized the positive debt restructuring news over mixed earnings results.