SKYX Platforms Corp. (NASDAQ: SKYX), doing business as SKYX Technologies, announced on October 14, 2026, that it has completed its merger with Deako, Inc., a Silicon Valley-backed smart home technology company. The combined business will focus on delivering an integrated artificial intelligence and plug-and-play smart home platform for residential and commercial buildings. The transaction brings together complementary patent portfolios, builder relationships, and product lines to accelerate the adoption of advanced safe-smart home technologies.
Strategic Rationale and Ownership
Under the terms of the merger, current SKYX shareholders own 84.4% of the combined company, while Deako shareholders and a lender collectively own the remaining 15.6%. The merged entity estimates a combined pipeline of over 4 million units with an expected average selling price of approximately US$50 per product. SKYX expects its full product line to increase Deako's revenue per home by up to five times.
The companies anticipate more than US$6 million in annual expense savings from overlapping operations, which is expected to move Deako into profitability and support SKYX's goal of becoming cash flow positive. Future recurring revenue opportunities include plug-and-play product interchangeability, artificial intelligence services, monitoring, subscriptions, and licensing. SKYX and Deako also aim to offer a complete A-to-Z solution covering wall outlets, wall switches, ceiling outlet boxes, lighting, ceiling fans, and smoke detectors.
Market Reach and Product Synergies
Deako brings a consistent commercial track record serving more than 50 U.S. home builders, including D.R. Horton, Toll Brothers, Risewell Homes, Adams Homes, Maronda Homes, Shea Homes, and Schumacher Homes. The company, whose lead investors include Paul Jacobs, former Chairman and CEO of Qualcomm, and Marwan Fawaz, former CEO of Nest, has shipped over 32 million units and generated more than US$26 million in revenue in 2025. Deako recently extended supply agreements with leading builders D.R. Horton and Stone Martin.
The merger expands SKYX's collective intellectual property portfolio to over 120 U.S. and global issued patents and pending applications. SKYX's ceiling outlet receptacle system has received approval votes from leading U.S. building safety standards organizations, including 10 segments in the NFPA-NEC code book and an ANSI/NEMA standard. The combined company expects the transaction to fast-track SKYX products into Deako's builder footprint and open Deako products into SKYX projects such as Marriott hotels, European hotels, and Miami's US$4 billion Smart City.
Leadership Commentary
Rani Kohen, Founder and Executive Chairman of SKYX Platforms, said the merger is a major step toward making advanced, safe, and smart homes and buildings the new standard. Derek Richardson, Founder and CEO of Deako, said Deako contributes a consistent track record with more than 50 U.S. home builders and over 32 million units shipped. Both leaders emphasized complementary patent portfolios, builder relationships, and the opportunity to increase revenue per home.
Financial Terms and Outlook
As merger consideration, SKYX issued 25,000,000 shares of common stock subject to a 21-month lock-up and leak-out agreement. The arrangement includes a 12-month full lock-up followed by quarterly releases after 12, 15, 18, and 21 months from closing, with share sales subject to a Rule 10b5-1 trading plan. SKYX paid Deako's senior lender US$2 million at signing on September 9, 2026, and US$2 million at closing.
SKYX also issued a US$8.5 million secured promissory note, with US$2.25 million payable in the first quarter of 2027 and the remaining US$6.25 million payable in the fourth quarter of 2027. The combined company expects future recurring revenue from product interchangeability, AI services, monitoring, subscriptions, and licensing. Management believes the merger will provide deployment opportunities for millions of combined products across builder, hotel, and professional markets.
The completion of the SKYX and Deako merger creates a broader technology platform that addresses smart home control, lighting, safety, and artificial intelligence through plug-and-play installation. By combining Deako's builder relationships and shipment volume with SKYX's patent portfolio and safety certifications, the companies are positioning themselves to capture recurring revenue across residential, hospitality, and professional markets. The transaction underscores a strategic push to make advanced and safe smart home technology a standard feature in homes and buildings.