Gri Bio Warns of Ongoing Internal Control Weaknesses That Could Threaten Financial Reporting Reliability and Investor Confidence

Gri Bio, Inc. (GRI) has disclosed a new risk, in the Accounting & Financial Operations category.

Gri Bio, Inc. faces an ongoing control environment risk, as management has concluded that its internal control over financial reporting was not effective at multiple dates between December 31, 2024 and December 31, 2025 due to material weaknesses. Although one weakness related to the inaccurate computation of a non‑cash deemed dividend on Series B Common Warrants has been remediated through enhanced use of third‑party experts and improved documentation and communication practices, a new material weakness was identified as of December 31, 2025. This remaining weakness stems from limitations in the company’s accounting software and a small accounting staff, resulting in inadequate segregation of duties that persists despite compensating controls. If Gri Bio cannot secure sufficient resources to fully remediate this weakness or if additional weaknesses emerge, its ability to produce timely, accurate financial statements may be impaired, potentially exposing it to regulatory scrutiny, higher compliance costs, and adverse impacts on investor confidence and its stock price.

Overall, Wall Street has a Moderate Buy consensus rating on GRI stock based on 2 Buys.

To learn more about Gri Bio, Inc.’s risk factors, click here.