Palisade Bio’s (NASDAQ:PALI) stock witnessed a staggering 150% surge in early trading on Monday. The surge was precipitated by groundbreaking developments: the company decided to scrap a proposed offering, and it unveiled plans for a reverse stock split. Additionally, it also divulged promising preclinical data for its lead drug.

The company made an official filing with the SEC last Friday, announcing the withdrawal of its proposed $5 million offering of common stock. Furthermore, it revealed intentions to call a special meeting of shareholders to vote on a reverse stock split, which could range between 1-for-2 and 1-for-15. Palisade, however, didn’t specify the schedule for the shareholders meeting in the filing.

Earlier on Monday, the company also made public the positive preclinical data for its lead drug candidate PALI-2108, aimed at possibly treating ulcerative colitis (UC). This announcement comes on the heels of the drug’s presentation at the Crohn’s and Colitis Congress, held last week in Las Vegas. The company is gearing up to commence Phase 1 clinical trials for the drug later this year, focusing on its efficacy in treating moderate-to-severe UC.