Key Highlights

● HUB appointed two independent directors on October 13, 2026.

● The company has until March 22, 2027 to regain Nasdaq market value compliance.

● A 1-for-25 reverse split took effect on September 11.

● The planned QPoint sale to Malam Team Group is valued at about US$8.7 million.

HUB Cyber Security (NASDAQ:HUBC) is in the middle of a restructuring that has included two reverse share splits, a planned business sale, a Nasdaq deficiency notice and, on October 13, 2026, the appointment of two new independent directors.

Latest Company Context

On October 13, 2026, HUB announced that Richard Paolone and Joseph Tung joined the board as independent directors, effective immediately, and said it is restructuring to improve liquidity and cut costs. On September 25 it disclosed a Nasdaq notice dated September 23 because the market value of its listed securities was below the US$35 million minimum. The company has until March 22, 2027 to regain compliance, which requires at least ten consecutive business days at or above US$35 million, and it may request a hearing.

Earlier, a 1-for-25 reverse split took effect on September 11, cutting shares outstanding from 44,895,531 to about 1,795,821. That followed a 1-for-20 split on June 5. The company had regained the same market value compliance on August 3 after a period from July 2 to July 31, only to fall short again within weeks.

Key Business and Index Drivers

The central strategic transaction is the planned sale of 100% of the QPoint Group to Malam Team Group for about US$8.7 million, calculated as twice QPoint's agreed 2025 gross profit of about US$4.3 million. The company has said proceeds are intended to repay substantially all of the debt secured by QPoint's shares. Completion requires clearance from the Israel Competition Authority, so it remains a proposal rather than a closed deal.

Other disclosed measures include a roughly 50% headcount reduction, the engagement of Deloitte for restructuring support, and an agreement on July 1 to acquire certain Evofem Biosciences (OTC:EVFM) convertible notes and purchase rights for no cash, with payment made entirely in HUB equity. Evofem reported more than US$20 million of sales in 2025. A late filing is another factor. In May, Nasdaq issued a deficiency notice over the unfiled fiscal 2025 Form 20-F, and the company could have until November 11, 2026 to regain compliance. No major index membership has been confirmed.

What Investors Should Watch

Identifiable catalysts include regulatory clearance and closing of the QPoint sale, and confirmation of how much debt is actually repaid. Investors may also watch for filing of the overdue annual report ahead of the November 11 date, any Nasdaq decision or hearing request connected to the US$35 million test, and further dilution if equity is used for acquisitions or financing. The new directors' backgrounds and any committee changes could be disclosed in filings. Share price behavior has been volatile around each corporate announcement, so liquidity and bid price rules may remain relevant.

Asset Sale, Cost Cuts and Listing Conditions

HUB is attempting to shrink debt and costs while keeping its Nasdaq listing, but several conditions remain unresolved. A completed QPoint sale and timely filings could reduce uncertainty, whereas further listing notices or dilution might add to it.