Forward Urges SkyAI Shareholders to Reject Equity Plan and Withhold Votes

Forward Industries, Inc., a company focused on Solana treasury strategies, has urged shareholders of SkyAI, Inc., to vote against the 2026 Equity Incentive Plan and withhold on each of the five director nominees at the upcoming annual meeting. The call to action comes in light of Forward's concerns over SkyAI's leadership and recent financial performance.

In a press release, Forward detailed its disappointment with SkyAI's board of directors for rejecting a $1.55 per share acquisition proposal from Forward, which represented a 20% premium to SkyAI's closing price prior to the proposal. The board's decision, according to Forward, was made without meaningful engagement and in pursuit of a standalone path rather than exploring a strategic combination with Forward.

Forward cited significant related-party payments as another concern. SkyAI paid $3,333,333 in consulting fees to Sol Edge Limited, a company owned by the brother of SkyAI’s Chief Investment Officer, Yuwen (Alice) Zhang. Additionally, SkyAI issued warrants to Sol Markets, valued at approximately $101.3 million, for strategic advisory services and paid $100,000 in marketing fees. These actions have raised questions about the board's judgment and the best interests of shareholders.

SkyAI's financial performance has also disappointed investors. The company reported a net loss of $23.3 million in the second quarter of 2026, compared to net staking revenue of $2.3 million. Total operating revenue for fiscal 2025 was just $204,000. SkyAI trades at the lowest multiple of net asset value (mNAV) among Solana-focused treasury companies and has underperformed SOL by approximately 17% year-to-date.

Forward's press release emphasized the importance of shareholder participation at the annual meeting. Shareholders are being asked to vote against the 2026 Equity Incentive Plan, which would authorize 5,145,000 additional shares for equity awards, and to withhold on each director nominee. The board's request for additional equity awards, in the context of past related-party transactions, has further fueled concerns among shareholders.

Forward Industries believes that the board has not demonstrated the stewardship and value creation necessary to warrant support from shareholders. The firm urged SkyAI shareholders to take action at the annual meeting to hold the board accountable and ensure that future decisions are made in the best interests of all shareholders.

Forward Industries, Inc., continues to believe in the strategic opportunity that a combination with SkyAI could bring. However, the board's actions and the company's recent financial performance have led the firm to call for a change in leadership and a more transparent approach to equity incentives.