KALA BIO shares surge 14.59% intraday after announcing $10M at-the-market direct offering to repay debt and fund operations.

KALA BIO surged 14.59% intraday following its announcement of a $10 million registered direct offering of 10 million shares at $1.00 per share under Nasdaq rules. The offering, expected to close on December 5, 2025, will use proceeds to repay debt and fund general corporate purposes. This move addresses the company’s liquidity challenges, as highlighted by a current ratio of 0.75 and a recent $29.1 million loan default notice. While equity dilution typically pressures shares, the immediate market reaction viewed the financing as a stabilizing step to reduce leverage and support operations. The transaction aligns with the stock’s intraday rally, reflecting investor optimism about near-term debt relief despite broader risks like the halted KPI-012 trial and prior 86% annual decline. H.C. Wainwright & Co. acted as the exclusive placement agent.