SkyAI, a Nasdaq-listed Solana treasury company formerly known as Sharps Technology, reported in an October 13 SEC filing that it has secured approximately 80% of the cash required for a planned tender offer at $3 per share. The company also retains approximately 600,000 SOL, down from roughly 1 million SOL reported in early October following recent sales of about half its digital asset treasury.
The proposed tender offer would repurchase up to 95% of each specified securities class, including common stock, cash pre-funded warrants, cryptocurrency pre-funded warrants, and strategic advisor warrants. SkyAI expects a maximum aggregate payout of approximately $201 million, subject to final terms and applicable requirements.
Key Conditions
The offer carries several conditions that SkyAI may waive. Most notably, SOL's closing price must remain above $100 throughout the offer period. Additionally, at least 50% of each securities class must be validly tendered and not withdrawn by the end of the offer.
Other conditions include legal constraints, avoidance of Nasdaq delisting, and protection against material adverse changes in equity or digital-asset markets. If conditions are not met or waived, the offer may not be completed.
Funding and Holdings
SkyAI expects to fund purchases with cash on hand and proceeds from SOL sales. The company states the offer carries no financing condition because its cash plus the market value of its digital assets exceed the maximum purchase price.
Cash payments to repurchased shareholders would end their exposure to SkyAI's SOL treasury and operating strategy. Holders whose securities are not purchased through proration would retain exposure to the company, which says it plans to continue building an AI financial platform.
Timeline and Status
SkyAI expects the offer to begin on or around October 15, with a 10-business-day period unless extended or terminated early. Definitive offer materials will establish final terms and procedures. The company warned in its October 13 filing that the offer may never commence.
The board previously rejected Forward Industries' latest nonbinding proposal, which offered cash, shares, or both at holders' election, valued at a fixed ratio of 0.306 FWDI shares per SkyAI share.
