Stablecoins are here to stay says BlackRock
MIAMI - SKYX Platforms Corp. (NASDAQ:SKYX), a technology company specializing in smart platform technologies for buildings and homes, has completed an $11 million investment in new preferred stock, with conversion at $2.00 per common share and an 8% annual dividend. The investment round was led by Lance Shaner of Shaner Hotel Group, with participation from other strategic investors.
This investment, announced today, is aimed at bolstering SKYX's cash position to support its growth objectives, including its recent collaborations with leading companies in the U.S. and globally. The company, which holds over 97 patents and patent applications worldwide, operates more than 60 lighting and home décor websites.
Lance Shaner, Chairman & CEO of Shaner Hotel Group, expressed his belief in SKYX's value proposition and its potential to revolutionize safety and efficiency in hotels, buildings, and homes. Steve Schmidt, President of SKYX, welcomed the investment as a significant endorsement of the company's advanced technologies and growth potential.
Rani Kohen, Founder and Executive Chairman of SKYX, highlighted the strategic importance of having Shaner as a lead investor, citing his extensive experience in hospitality and community development as a key factor in the company's continued success.
Shaner Hotels, with over $1 billion invested in 60 properties and a history of over 40 years in the hospitality industry, brings significant industry expertise to the table. SKYX aims to leverage this partnership to further its mission of making buildings and homes safe, advanced, and smart as a new standard.
The company's statement included forward-looking remarks about its market potential and growth strategies. It emphasized its goals of achieving cash flow positivity during 2025 and highlighted the importance of the strategic investment in reaching these objectives.
The information in this article is based on a press release statement from SKYX Platforms Corp.
In other recent news, SKYX Platforms Corp. announced designation of its newly authorized convertible Series A Preferred Stock and Series A-1 Preferred Stock, which may impact the company's capital structure. The company has also reported significant growth in its second-quarter sales, reaching $21.4 million, up from $15 million in the same period last year. In addition, SKYX has reduced its adjusted EBITDA loss to $2.1 million and net cash loss to $2.7 million.
Another recent development includes securing a $3.5 million revolving line of credit through its subsidiary Belami, Inc., with Farmers & Merchants Bank of Central California. However, the company is facing potential delisting from the Nasdaq due to non-compliance with the exchange's minimum bid price requirement, although a 180-day grace period has been granted to regain compliance.
Analysts from Roth/MKM have initiated coverage on SKYX, assigning a Buy rating based on the potential of the company's SkyOutlet system. The company has also announced strategic collaborations with industry giants such as Home Depot (NYSE:HD) and GE Licensing. These recent developments highlight SKYX's strategic decision to increase its credit facility, reflecting confidence in its financial stability and future prospects.
InvestingPro Insights
SKYX Platforms Corp.'s recent $11 million investment comes at a crucial time for the company, as reflected in recent financial data and analyst projections. According to InvestingPro data, SKYX's market capitalization stands at $97.5 million, with a revenue of $84.22 million for the last twelve months as of Q2 2024. The company has shown impressive revenue growth of 461.0% over the same period, indicating significant market traction for its smart platform technologies.
However, investors should note that SKYX is currently operating at a loss, with an adjusted operating income of -$33.46 million for the last twelve months. This aligns with an InvestingPro Tip stating that the company is "quickly burning through cash," which underscores the importance of the recent $11 million investment in strengthening its financial position.
Despite these challenges, there are positive signals for SKYX. An InvestingPro Tip highlights that analysts anticipate sales growth in the current year, which could be bolstered by the strategic partnerships mentioned in the article. Additionally, the company has seen a "significant return over the last week" and a "strong return over the last month," with 1-week and 1-month price total returns of 13.13% and 13.76% respectively, suggesting growing investor confidence.
For those interested in a deeper analysis, InvestingPro offers 8 additional tips that could provide valuable insights into SKYX's financial health and market position. These additional tips could be particularly useful for investors looking to understand the full implications of SKYX's recent investment and its potential impact on the company's future performance.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.