Story
Forward Industries Stock Drops 10% After Unveiling SkyAI Acquisition Proposal
Shares of Forward Industries Inc. (NASDAQ:FWDI) fell 10% in Tuesday trading after the company publicly disclosed a proposal to acquire all outstanding common stock of SkyAI Inc.
The Acquisition Offer
Forward Industries announced it delivered a letter to SkyAI’s Board of Directors on September 15, 2026, outlining the takeover bid. The proposal offers SkyAI stockholders the option to receive cash, Forward common stock, or a combination of both.
The terms include a fixed exchange ratio of 0.306 Forward shares for each share of SkyAI. According to the announcement, this implies a value of $2.13 per SkyAI share, based on Forward’s closing price of $6.95 on September 14. This represents a 50% premium to SkyAI’s closing price of $1.42 on the same day.
Management Commentary and Next Steps
Ad"Our updated offer reflects our conviction in the value this combination can create," said Ryan Navi, CIO of Forward Industries, in a statement. "We’re ready to move quickly - the next step is for the Board to engage."
The drop in the acquirer's stock price is a common market reaction, often reflecting investor concerns about the cost of the acquisition, the premium being paid, and potential share dilution. Forward Industries has requested a response from the SkyAI Board by 5:00 p.m. Eastern time on September 25, 2026.
The proposal is non-binding and contingent upon several customary conditions, including:
- Completion of due diligence
- Negotiation and execution of a definitive agreement
- Receipt of necessary regulatory approvals
- Approval by SkyAI’s stockholders
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