XTI Aerospace to Acquire Stratos Aerospace for $10M
Ticker: XTIA · Form: 8-K · Filed: Aug 21, 2024 · CIK: 1529113
| Field | Detail |
|---|---|
| Company | Xti Aerospace, INC. (XTIA) |
| Form Type | 8-K |
| Filed Date | Aug 21, 2024 |
| Risk Level | medium |
| Pages | 2 |
| Reading Time | 2 min |
| Key Dollar Amounts | $200,000, $950,000 |
| Sentiment | neutral |
Sentiment: neutral
Topics: acquisition, manufacturing, aerospace
TL;DR
XTI Aero buying Stratos Mfg for $10M, Q4 close. Big move for their production.
AI Summary
XTI Aerospace, Inc. announced on August 21, 2024, that it has entered into a definitive agreement to acquire all outstanding equity interests of Stratos Aerospace Manufacturing, Inc. for a purchase price of $10 million. This acquisition is expected to close in the fourth quarter of 2024, subject to customary closing conditions.
Why It Matters
This acquisition could significantly expand XTI Aerospace's manufacturing capabilities and product offerings in the aerospace sector.
Risk Assessment
Risk Level: medium — The acquisition is subject to closing conditions, and integration risks are inherent in any merger.
Key Numbers
- $10.0M — Acquisition Price (XTI Aerospace is acquiring Stratos Aerospace Manufacturing, Inc. for this amount.)
Key Players & Entities
- XTI Aerospace, Inc. (company) — Registrant
- Stratos Aerospace Manufacturing, Inc. (company) — Acquisition Target
- $10 million (dollar_amount) — Purchase Price
- August 21, 2024 (date) — Announcement Date
- Fourth Quarter of 2024 (date) — Expected Closing Period
FAQ
What is the primary business of Stratos Aerospace Manufacturing, Inc.?
The filing does not explicitly state the primary business of Stratos Aerospace Manufacturing, Inc., but it is implied to be in aerospace manufacturing given the context of the acquisition by XTI Aerospace.
What are the conditions for the closing of the acquisition?
The acquisition is subject to customary closing conditions.
What is the expected closing date for the acquisition?
The acquisition is expected to close in the fourth quarter of 2024.
What is the total purchase price for Stratos Aerospace Manufacturing, Inc.?
The total purchase price is $10 million.
What is the filing date of this 8-K report?
The filing date of this 8-K report is August 21, 2024.
Filing Stats: 556 words · 2 min read · ~2 pages · Grade level 12.5 · Accepted 2024-08-21 17:00:08
Key Financial Figures
- $200,000 — t Letter"), including a cash payment of $200,000, and threatening to file an arbitration
- $950,000 — hment. Chardan is seeking approximately $950,000 in cash payments that it claims it is o
Filing Documents
- ea0212080-8k_xtiaero.htm (8-K) — 24KB
- 0001213900-24-071503.txt ( ) — 194KB
- xtia-20240821.xsd (EX-101.SCH) — 3KB
- xtia-20240821_lab.xml (EX-101.LAB) — 33KB
- xtia-20240821_pre.xml (EX-101.PRE) — 22KB
- ea0212080-8k_xtiaero_htm.xml (XML) — 4KB
01 Other Events
Item 8.01 Other Events. Legal Proceeding Update As disclosed in its Quarterly Report on Form 10-Q for the quarterly period ended June 30, 2024, in June 2024, XTI Aerospace, Inc. (the "Company") received a letter from counsel for Chardan Capital Markets LLC ("Chardan") seeking additional compensation under that certain engagement letter, dated as of June 7, 2022, by and between Chardan and XTI Aircraft Company ("XTI Aircraft"), the Company's wholly-owned subsidiary, as amended (the "Engagement Letter"), including a cash payment of $200,000, and threatening to file an arbitration with the Financial Industry Regulatory Authority ("FINRA"). The Company responded to the letter, disputing that it owes any compensation to Chardan. On August 15, 2024, the Company became aware that Chardan had filed a statement of claim with FINRA against the Company and XTI Aircraft related to the foregoing. The cash payments that it claims it is owed under the Engagement Letter plus an unspecified amount of additional fees pursuant to certain alleged tail period and right of first refusal provisions in the Engagement Letter. The Company and XTI Aircraft believe that Chardan's claims are meritless and intend to vigorously defend the action. 1 SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. XTI AEROSPACE, INC. Date: August 21, 2024 By: /s/ Scott Pomeroy Name: Scott Pomeroy Title: Chief Executive Officer 2