(RTTNews) - Rallybio Corporation (RLYB), a clinical-stage biotechnology company, announced that it will effect a 1 for 8 reverse stock split of its issued and outstanding common stock on February 6, 2026.
The reverse stock split is intended to help Rallybio meet the minimum price requirement for continued listing on the Nasdaq and to support future business needs.
Following the news, RLYB is down 10.27%, at $0.56. The stock closed Tuesday's trade at $0.63.
The company first received a Nasdaq warning on February 24, 2025, after its stock traded below $1.00 for 30 consecutive business days. After failing to regain compliance by the initial August 25, 2025, deadline, Nasdaq approved Rallybio's application to transfer its listing to the Nasdaq Capital Market, buying itself an additional 180 days, until February 23, 2026, a second compliance date.
No fractional shares will be issued in connection with the reverse split. Stockholders who would otherwise be entitled to receive a fractional share will instead receive a cash payment in lieu of such fractional shares equal to the fair market value of such fractional shares, as determined by Rallybio's Board of Directors.
Computershare Trust Company, N.A. is acting as the exchange agent and transfer agent for the reverse stock split.
Rallybio's pipeline candidates are designed to address medical needs in areas of complement dysregulation and haematology. The Company's lead program, RLYB116, is a differentiated C5 inhibitor with the potential to treat diseases of complement dysregulation, with an initial focus on immune platelet transfusion refractoriness (PTR) and refractory antiphospholipid syndrome (APS).
Rallybio's pipeline also includes RLYB332, a preclinical long-acting matriptase-2 antibody for the treatment of diseases of iron overload.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
