SKYX Platforms Corp. (NASDAQ: SKYX) has signed a merger agreement with Deako Inc., a Silicon Valley-backed smart home AI platform and intelligent lighting company. The combination will integrate SKYX's plug-and-play ceiling outlets, wall outlets, and wall switches with Deako's advanced lighting controls and AI capabilities. The deal is expected to create a more comprehensive smart home ecosystem, positioning the merged company to capitalize on the growing demand for safe, intelligent, and easy-to-install electrical solutions in residential and commercial buildings.
Deako brings significant scale to the merger. Over the past five years, the company has shipped more than 32 million units and generated over $26 million in revenue in 2025. It supplies more than 50 U.S. builders, providing SKYX with an established distribution network and immediate access to a large builder footprint. SKYX expects this to accelerate deployment of its technologies, while Deako products could see expanded opportunities across SKYX's hotel and development projects. The combined entity will hold more than 120 patents and pending applications, creating a formidable intellectual property portfolio that could drive future innovation and licensing revenue.
Under the terms of the agreement, SKYX will issue 25 million common shares as merger consideration, subject to a lockup and leak-out agreement. Upon closing, current SKYX shareholders are expected to own 84.4% of the post-merger company, while Deako shareholders and its lender will collectively own 15.6%. Additionally, SKYX will pay Deako's lender $4 million at closing and issue an $8.5 million note, with $2.25 million due in the first quarter of 2027 and $6.25 million in the fourth quarter. This financial structure aims to align interests and provide Deako's stakeholders with continued upside potential.
The strategic rationale extends beyond immediate revenue synergies. The merger is expected to generate cost-saving synergies and create recurring revenue opportunities from product upgrades, AI services, monitoring, subscriptions, and licensing. By combining forces, SKYX and Deako can offer a more integrated solution that addresses the increasing consumer and builder demand for smart, safe, and connected homes. As electricity remains a standard in every home and building, SKYX's mission to make homes and buildings safe-advanced and smart as the new standard gains significant momentum with Deako's proven technology and market presence.
Investors and industry observers will be watching how quickly the companies can realize the anticipated benefits. The merger not only expands SKYX's product offerings but also strengthens its position in the smart home market, where competition is intensifying. With Deako's established builder relationships and SKYX's patented technologies, the combined company is poised to become a key player in the smart home and AI platform space. For more details, the full press release is available at https://ibn.fm/OMnC3. Additionally, the latest news and updates relating to SKYX can be found in the company's newsroom at https://ibn.fm/SKYX.
