SKYX Platforms Corp. (NASDAQ: SKYX), a developer of advanced safe and smart home technologies, has signed a merger agreement with Deako Inc., a Silicon Valley-backed smart home AI platform and intelligent lighting company. The deal combines SKYX's plug-and-play ceiling outlets, wall outlets, and wall switches with Deako's intelligent lighting solutions, creating a comprehensive smart home ecosystem. The merger is expected to accelerate the deployment of SKYX technologies through Deako's extensive builder network while opening new opportunities for Deako products in SKYX's hotel and development projects. This strategic move positions the combined company to capitalize on the growing demand for smart home and AI-driven building solutions.
Deako has shipped more than 32 million units over the past five years, generated more than $26 million in revenue in 2025, and supplies over 50 U.S. builders. This footprint provides SKYX with immediate access to a broad customer base and proven distribution channels. 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, while Deako shareholders and its lender will collectively own 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, creating a robust intellectual property portfolio. This is expected to generate cost-saving synergies and future recurring revenue opportunities from product upgrades, AI services, monitoring, subscriptions, and licensing. The merger not only strengthens SKYX's technological capabilities but also enhances its ability to monetize advanced features through recurring revenue models, a critical factor for long-term growth in the smart home industry.
For investors, the merger signals a significant step toward consolidating a fragmented smart home market. By integrating Deako's builder relationships and proven sales track record, SKYX can accelerate its market penetration and drive adoption of its safe-advanced smart technologies as a new standard in homes and buildings. The transaction also underscores the increasing convergence of AI, lighting, and electrical infrastructure in modern construction. As electricity remains a standard in every home and building, SKYX's mission to make homes and buildings safe-advanced and smart aligns with broader trends in energy efficiency, automation, and connectivity.
The deal is subject to customary closing conditions and regulatory approvals. Upon completion, the combined company will be better positioned to compete in the rapidly evolving smart home and AI platform market, with a strong emphasis on high-quality, easy-to-use solutions that enhance safety and lifestyle. For more details, the full press release is available at https://ibn.fm/OMnC3. Additional news and updates about SKYX can be found in the company's newsroom at https://ibn.fm/SKYX.
