SKYX Platforms Corp. (NASDAQ: SKYX), a company focused on making homes and buildings safe, advanced, and smart, 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 smart home and intelligent lighting technologies, creating a comprehensive platform for residential and commercial buildings.
The strategic rationale is compelling. Deako has shipped more than 32 million units over the past five years, generated more than $26 million in revenue in 2025, and supplies more than 50 U.S. builders. By joining forces, SKYX expects to accelerate deployment of its technologies through Deako's established builder footprint, while Deako products can gain exposure across SKYX's hotel and development projects. This cross-pollination could drive rapid adoption of smart home solutions in new construction and hospitality, where SKYX already has a presence.
Under the agreement, SKYX will issue 25 million common shares as merger consideration, subject to a lockup and leak-out agreement. Current SKYX shareholders are expected to own 84.4% of the post-merger company, with Deako shareholders and its lender collectively owning 15.6%. SKYX will also 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. The combination will bring together more than 120 patents and pending applications, a significant intellectual property portfolio that could serve as a barrier to entry and a foundation for future innovation.
The merged entity is expected to create cost-saving synergies and future recurring revenue opportunities from product upgrades, AI services, monitoring, subscriptions, and licensing. This shift toward recurring revenue models is particularly important as it can provide more predictable cash flows and higher margins over time. For investors, the deal represents a bet on the convergence of smart home technology, AI, and the building industry, a market that is increasingly driven by demand for safety, convenience, and energy efficiency.
SKYX's mission is to make homes and buildings safe-advanced and smart as the new standard. The company owns over 100 U.S. and global patents and patent pending applications, and also operates 60 lighting and home decor websites for retail and commercial segments. Its technologies emphasize high quality and ease of use, enhancing both safety and lifestyle. The addition of Deako's AI platform and intelligent lighting strengthens SKYX's position in the smart home ecosystem, potentially making its products a necessity in every room in homes and other buildings in the U.S. and globally.
The merger is subject to customary closing conditions, including regulatory approvals and shareholder consent. Upon completion, the combined company will be led by SKYX's management team, with Deako's expertise integrated into the organization. The transaction is expected to close in the first half of 2026.
For more information, the full press release can be viewed at https://ibn.fm/OMnC3. Additional updates on SKYX are available in the company's newsroom at https://ibn.fm/SKYX.
