BEN secures $5 million AI licensing deal with SKYE LATAM

WILMINGTON/MEXICO CITY - Brand Engagement Network, Inc. (Nasdaq:BNAI) announced Monday it has completed a strategic partnership with SKYE Inteligencia LATAM, S.A.P.I. de C.V., securing a $5 million preferred equity contribution. This deal comes as the micro-cap company, currently valued at just $16.81 million, trades at $0.38 per share, down 66% over the past year.

The deal, effective October 30, 2025, grants BEN a 25% common stock ownership in SKYE LATAM along with one board seat. BEN will receive a 35% revenue share on software, SaaS, services, and subscriptions across all industries, while providing SKYE LATAM exclusive government-sector licensing rights in Latin America and Spain, with non-exclusive rights in other verticals.

The partnership leverages BEN's Engagement Language Model and Retrieval-Augmented Generation technologies to deliver AI solutions compliant with regional data sovereignty requirements, including Mexico's Federal Law on Protection of Personal Data and Brazil's General Data Protection Law. Despite recent volatility—the stock dropped 19% last week but has gained nearly 18% over six months—InvestingPro analysis shows BNAI is quickly burning through cash with a concerning current ratio of 0.19, meaning short-term obligations exceed liquid assets.

"We expect this partnership to propel our AI into the heart of Latin America's digital transformation," said Tyler Luck, Acting CEO and Co-Founder of BEN.

Gastón Iván Gaxiola Romero, SKYE LATAM CEO and Chairman, stated: "BEN's AI platform enables transparent, trustworthy solutions. Through SKYE LATAM, we will have the ability to empower governments and enterprises to modernize while respecting local data laws."

This represents BEN's first major international licensing agreement, according to the company's press release statement. BEN develops conversational AI agents designed for regulated industries, with applications across sectors including healthcare, financial services, and automotive.

The partnership is structured as a perpetual term agreement with right of first refusal on any sale.

In other recent news, Brand Engagement Network Inc reported a notable increase in its Q2 2025 revenue, which surged to $5,000 from zero in the same quarter the previous year. Despite this significant revenue growth, the company's earnings per share (EPS) was reported at $0.02, which did not meet analyst expectations. This shortfall in EPS contributed to negative market sentiment surrounding the company. Analysts have not provided any upgrades or downgrades for Brand Engagement Network Inc at this time. These developments reflect the company's current financial situation and investor reactions.

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