KALA BIO shares surge 16.88% premarket after settling $10.6M debt with Oxford Finance, removing financial overhang.

KALA BIO, Inc. (NASDAQ:KALA) surged 16.88% in premarket trading following the announcement that it had settled approximately $10.6 million in debt obligations with Oxford Finance, LLC. The company fulfilled its $2 million payment under a settlement agreement, resolving critical debt from a 2021 loan and eliminating a significant financial overhang. Management described the resolution as a "watershed moment," emphasizing improved strategic flexibility and increased shareholders’ equity. The settlement, disclosed in an 8-K filing on November 25, 2025, was finalized by December 26, 2025, and marked a key step in addressing the company’s liquidity challenges. The positive reaction aligns with the removal of a major debt burden, though the company’s broader financial pressures, including a weak current ratio and remaining total debt of $29.94 million, remain.