SkyAI Sells Half Its SOL Stack, Plans $201M Buyback

SkyAI, Inc. (Nasdaq: SKYA) has sold roughly half its Solana treasury and will use the proceeds, alongside cash on hand, to fund a cash tender offer worth up to $201 million for up to 95% of its common shares and three classes of warrants, according to Cryptobriefing.

The Nasdaq-listed company put a fixed $3.00 price on each security in the offer. Cryptobriefing reported that SKYA shares jumped 24.68% in pre-market trading to about $2.26 on the news, a 65% premium over the October 9 close, yet still below the tender price. Crypto.news separately reported that the company intends to finance the repurchases without additional borrowing.

Key facts

• SkyAI sold approximately 1 million SOL, cutting its prior holdings of around 2 million tokens in half, and said it was monitoring Solana’s market price and could sell more.
• The tender offer targets up to 46.37 million common shares and roughly 20.72 million securities across cash pre-funded warrants, cryptocurrency pre-funded warrants and strategic advisor warrants, at $3.00 each for a maximum of about $201 million.
• The offer is expected to commence around October 15, 2026 and run for 10 business days, with SkyAI retaining the right to extend or terminate it early.
• The board rejected a non-binding acquisition proposal from Forward Industries that offered 0.306 FWDI shares per SKYA share, saying it undervalued the company.
• Crypto.news reported that blockchain analyst Ember flagged an additional 211,623 SOL transfer to Coinbase Prime on October 12, estimating total disposals of roughly 1.25 million SOL worth about $138 million over five days. The transfer alone does not independently establish that the tokens were sold.

Conditions attached to the offer

The tender is not unconditional. At least half of each eligible class must be tendered and not withdrawn before the deadline for that class to move forward; if holders of one class do not show up in sufficient numbers, the offer for that class falls away. The deal is also expected to require that SOL’s closing price hold above $100 for the duration of the offer window, though SkyAI reserved the right to waive certain conditions. The transaction must not cost the company its Nasdaq listing or trigger deregistration under the Securities Exchange Act of 1934.

Crypto.news reported that formal tender offer materials are expected to be filed with the U.S. Securities and Exchange Commission by October 15, with instructions going to shareholders and warrant holders. If participation in any class exceeds the 95% purchase limit, the company expects to accept securities on a proportional basis. SkyAI has paused purchases under its existing share repurchase program and will not resume separate buybacks until at least 10 business days after the tender expires.

Pressure on the SOL stack, and a rejected suitor

The funding side of the plan became clearer as blockchain analysts tracked the wallets. Crypto.news reported that Ember said wallets linked to SkyAI moved 468,000 SOL, worth about $51.1 million, in a 24-hour span, with 218,000 SOL going to centralized exchanges and 250,000 SOL to BitGo, the institutional custody and services provider. Lookonchain, cited by Crypto.news, reported 568,000 SOL worth about $63.87 million heading to exchanges over three days and estimated SkyAI’s average acquisition price at roughly $194 per token, implying a possible loss near $46 million if those tokens were sold. Crypto.news noted that estimate was conditional and did not represent a company-confirmed realized loss.

Forward Industries, the suitor SkyAI turned away, has taken a different path with its own Solana reserves. Crypto.news reported that Forward bought more than 500,000 SOL in its fiscal third quarter, bringing holdings to 7.55 million tokens as of June 30 at an average purchase price of about $79, and completed a $25 million registered direct offering in September to support its treasury strategy. The company also transferred 455,784 SOL worth about $31.9 million to Coinbase Prime in June, a move that raised questions about possible sales without establishing that any occurred.

Why it matters

SkyAI is reshaping itself in public: it is moving away from operating mainly as a crypto treasury company and toward an AI-driven financial services provider, and selling half its SOL while shrinking the share count are two parts of the same shift. For holders, the $3.00 offer is a fixed cash exit that sits above where the stock traded even after its pre-market pop. For SOL, the mechanics cut both ways: a treasury company selling into the market to fund a buyback adds supply pressure, and the buyback itself depends on the token staying above a set price. Other Solana treasury holders have reported valuation losses, including Upexi’s $109.3 million fiscal third-quarter net loss in May, which included a $92.3 million unrealized loss on digital assets.

What to watch

The offer window is the immediate test. If SOL closes below $100 at any point during the roughly 10-business-day period, or if fewer than half of any class tender their securities, those portions of the deal can fail. Watch for the SEC filings expected by October 15 and any further SOL transfers from SkyAI’s wallets as the company says it is still tracking market conditions.

This article is not financial advice. Crypto and equity markets are volatile and uncertain, and readers should do their own research before making investment decisions.

Disclaimer: This article is for information only and is not investment, financial or trading advice. Cryptocurrency prices are highly volatile. Always do your own research.

Sources: Crypto Briefing, Crypto.news