GRI Bio regains compliance with Nasdaq minimum bid rule

LA JOLLA, CA - Biotechnology firm GRI Bio, Inc. (NASDAQ: GRI) has successfully regained compliance with the Nasdaq minimum bid price requirement, the company announced Monday. The Nasdaq Stock Market LLC confirmed that GRI Bio’s common stock had met the necessary bid price condition outlined in Nasdaq Listing Rule 5550(a)(2). The micro-cap company, currently valued at $3.4 million, has seen its stock decline nearly 54% year-to-date according to InvestingPro data.

GRI Bio specializes in developing therapies targeting Natural Killer T (NKT) cells to treat inflammatory, fibrotic, and autoimmune diseases. Their leading product candidate, GRI-0621, is an oral therapeutic intended for idiopathic pulmonary fibrosis, a disease with significant unmet medical needs. The company also has a pipeline of type 2 diverse NKT (dNKT) agonists for systemic lupus erythematosus treatment and a library of over 500 proprietary compounds to support future developments. The company maintains a strong liquidity position with a current ratio of 3.1, though InvestingPro analysis indicates rapid cash burn.

The press release also contained forward-looking statements regarding the company’s product development and commercialization plans, clinical trial timelines, and potential product benefits. These statements are based on current beliefs and expectations and are subject to various risks and uncertainties that may cause actual results to differ.

The company’s compliance with Nasdaq’s listing standards is a positive step for the firm, which is also navigating challenges such as maintaining its stock listing, securing additional financing, and achieving regulatory approvals for its products.

The information in this article is based on a press release statement from GRI Bio, Inc.

In other recent news, GRI Bio, Inc. has received stockholder approval for a reverse stock split of its common stock. During a virtual meeting, the majority of votes supported the proposal, allowing the consolidation of shares at a ratio between one-for-two and one-for-twenty-three, as determined by the board of directors. This move is intended to increase the per-share trading price, potentially attracting broader market interest and ensuring compliance with Nasdaq’s listing requirements. The board retains the discretion to decide the exact ratio or to opt out of the reverse stock split if deemed beneficial for the company. Additionally, stockholders approved a proposal to adjourn the meeting if necessary, to gather more proxies in case of insufficient votes. The meeting achieved a quorum with about 51.94% of eligible shares represented. The reverse stock split received 3,151,775 affirmative votes, while 1,484,078 voted against it, and 4,616 abstained. The proposal for adjournment, if needed, was supported by 3,237,240 votes, with 1,390,423 against and 12,806 abstentions.

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