SkyAI Sells SOL as Shareholder Demands Disclosure
SkyAI has confirmed selling 1 million SOL for about $107 million to help fund a cash tender offer of up to $201 million. The Nasdaq-listed company initially said it still held about 1 million SOL and might sell more. An October 13 filing later showed that SkyAI’s holdings had fallen around 70% from more than 2 million SOL in mid-September to about 600,000. Since October, it has transferred roughly 1.57 million SOL, worth about $175 million; transfers do not by themselves confirm sales. On-chain estimates put SkyAI’s average purchase price near $194 per SOL, implying losses of more than $160 million at recent prices, though these are not confirmed realized losses.
The tender offer aims to repurchase up to 95% of SkyAI’s outstanding shares and warrants at $3 per security, subject to conditions including SOL staying above $100 during the offer period. SkyAI previously rejected a share-exchange proposal from Forward Industries, saying it undervalued the company. Bastion Trading, which holds about 9.99% of SkyAI’s shares, is demanding full disclosure of the SOL sales, an independent review and board changes. It says it will not participate in the offer until its concerns are addressed and wants the price raised to at least $3.50 per share. Further SOL sales could add near-term selling pressure, while the shareholder dispute raises questions about the management of SkyAI’s remaining SOL treasury.
Bearish
The news is bearish for SOL in the near term because SkyAI has confirmed a large sale and may sell more, while its transfers of roughly 1.57 million SOL highlight the scale of potential supply entering the market. Transfers are not proof of completed sales, so the actual immediate selling impact is uncertain. Still, traders may anticipate further exchange deposits and respond by reducing exposure, adding volatility and short-term downward pressure. The tender offer’s condition that SOL remain above $100 may also draw attention to that price level, though it does not guarantee support.
Over the longer term, the impact depends on whether SkyAI continues to liquidate its remaining treasury and how quickly the market absorbs any sales. The shareholder dispute and calls for disclosure could increase uncertainty around the company’s decisions, while clearer reporting or a pause in sales could ease concern. The estimated losses based on an average purchase price near $194 are not confirmed realized losses and do not alone determine SOL’s value. Broader market conditions, liquidity and demand will remain important; therefore, the selling and governance risks are negative, but the sustained price effect is not certain.