ENGLEWOOD, Colo., April 1, 2025 /PRNewswire/ — XTI Aerospace, Inc. (Nasdaq: XTIA) (“XTI” or the “Company”), a pioneer in VTOL and powered-lift plane answers, as of late absolved refer to letter from the Corporate Chairman and CEO Scott Pomeroy to shareholders.
Expensive Shareholders,
It’s been simply over a era since I used to be appointed Prominent Government Officer of XTI Aerospace, coinciding with our Nasdaq list. For a number of years, I had identified the word of the TriFan 600 vertical take-off and touchdown plane, having served at the board of AVX Aircraft Company since 2009. Admittedly, I used to be much less usual with the numerous hurdles we must triumph over ahead of we may well be assessed in keeping with the deserves of our trade type.
When XTI commenced buying and selling on Nasdaq on March 13, 2024, the week then I were named CEO, XTI assumed post-merger duties to the holders of equity-based or equity-linked financing tools and loyalty to pre-reverse merger control of roughly $30 million. The character and measurement of those duties considerably restricted get right of entry to to basically minded capital, departure our skill to satisfy those duties and exit the trade in large part restricted to our skill to promote our inventory at-the-market.
On January 7, 2025, our familiar inventory traded roughly one thousand million stocks, and we bought $20 million in worth of familiar inventory at-the-market. At that year, even then the use of 20% of proceeds against the ones duties, our general duties nonetheless exceeded $7 million then those bills and represented remarkable balances of those inventory and money duties to prior control and attach debt incurred next to latter the merger. In a while thereafter, on January 10, 2025, we effected a opposite break to regain compliance with Nasdaq list requirements. On a put up opposite break foundation, buyers had bought our familiar inventory at an efficient worth of $13.75 consistent with proportion.
On February 3, 2025, we introduced key product and engineering milestones and our targets during which we imagine buyers will have to measure us all through 2025. Since that year, we’ve got steered you that we’ve got achieved a number of milestones advancing travel of the TriFan 600 as we search to validate generation secure by means of our highbrow feature, and we’ve got made key hires to assistance execution of our trade technique.
On March 10, 2025, the Nasdaq, which had already corrected greater than 10% from its December top, slid any other 4%, within the greatest one-day abate since September 2022. With our familiar inventory buying and selling at more or less $2.60 consistent with proportion, on March 18, 2025, we introduced that our Board had licensed a proportion repurchase program, giving us the chance to buy our familiar inventory within the clear marketplace for a 12-month duration extendable to 18 months. We had concluded that following an roughly 80% release in our proportion worth simply since January 2025, that the nation marketplace used to be valuing us a measurable bargain to money and intrinsic worth. But, the Nasdaq endured to say no and with it, our proportion worth.
Given the marketplace volatility and the amount of feedback we reviewed, which have been posted by means of you, our valued shareholders on Stocktwits and alternative regularly old boards, we identified that so long as stock-based duties existed, even at lowered ranges, shall we no longer be judged by means of you at the basic deserves of our trade. This used to be ever extra obvious when the marketplace didn’t reply as anticipated when on March 19, 2025, we introduced our success of a significant regulatory milestone, acceptance by means of the Federal Flying Management of our Kind Certification software on March 17, 2025. I acknowledge that lots of you realize our trade, so you recognize it is a key accomplishment in development of industrial initiation. Due to this fact, as introduced on March 31, 2025, we raised an alternative $4 million in a nation providing to bring to pay off in complete our remarkable attach promissory notes and extra our function of retiring all residue equity-based financing tools and familiar inventory duties to the control group answerable for our nation car pre-reverse merger and paying i’m sick money duties to prior control.
I do know this has no longer been a very simple highway for any of you or us for that topic, however I’m happy to document that we now not have any stock-based financing duties or familiar inventory duties to that prior control group. In truth, past we nonetheless have greater than $8 million in money readily available, sufficient to maintain operations neatly into This autumn 2025, I’m happy to proportion with you that our ancient money duties are simply $1.5 million, and we predict that those duties can be totally paid in 2025. Peace of the inventory duties additionally implies that our worthy highbrow feature portfolio is now in large part unencumbered by means of attach debt.
We proceed to strongly imagine our stocks are hugely undervalued by means of all affordable valuation frameworks. We’re launching a targeted non-deal roadshow to create consciousness within the institutional investor crowd, concentrated on 100 investor conferences in April and Might, and we can be introducing a unused investor deck that displays a thrilling sight for XTI Aerospace.
We recognize your endured assistance as we paintings towards executing our shared sight and turning in long-term shareholder worth. We pay attention you and recognize your assistance of American ingenuity and American innovation at XTI Aerospace.
We’re listening. We welcome your comments at Contact XTI.
We sit up for flight with you. Thanks for being part of this travel.
Sincerely,
Scott Pomeroy, CEO
XTI Aerospace
About XTI Aerospace, Inc.
XTI Aerospace (XTIAerospace.com) (Nasdaq: XTIA) is the father or mother corporate of XTI Airplane Corporate, an flying trade founded alike Denver, Colorado, lately creating the TriFan 600, a fixed-wing trade plane designed to have the vertical takeoff and touchdown (VTOL) capacity of a helicopter, speeds of 345 mph and a area of 700 miles, growing a wholly unused section – the vertical elevate crossover plane (VLCA). Moreover, the Inpixon (inpixon.com) trade unit of XTI Aerospace is a pace-setter in real-time location methods (RTLS) generation with shoppers around the globe who importance the corporate’s location prudence answers in factories and alternative business amenities to aid optimize operations, building up productiveness, and strengthen protection. For more info about XTI Aerospace, please consult with XTIAerospace.com and HangerXStudios.com (an flying innovation podcast), and observe the corporate on LinkedIn, Instagram, X, and YouTube.
Cautionary Remark Referring to Ahead-Having a look Statements
This press shed accommodates positive “forward-looking statements” throughout the that means of the US Personal Securities Litigation Reform Occupation of 1995, Division 27A of the Securities Occupation, and Division 21E of the Alternate Occupation. All statements alternative than statements of ancient truth contained on this press shed, together with with out limitation, statements in regards to the merchandise below building by means of XTI, the benefits of XTI’s generation, and XTI’s shoppers, plans and methods are forward-looking statements.
A few of these forward-looking statements can also be recognized by means of the importance of forward-looking phrases, together with “believe,” “continue,” “could,” “would,” “will,” “estimate,” “expect,” “intend,” “plan,” “target,” “projects,” or the negatives of those phrases or permutations of them or matching expressions. All forward-looking statements are matter to dangers, uncertainties, and alternative elements which might motive unedited effects to range materially from the ones expressed or implied by means of such forward-looking statements. All forward-looking statements are founded upon estimates, forecasts, and suppositions that, past thought to be affordable by means of XTI Aerospace and its control, are inherently unsure, and lots of elements would possibly motive the unedited effects to range materially from stream expectancies. XTI undertakes refuse legal responsibility to revise any forward-looking statements to bring to replicate occasions or cases that would possibly due to this fact get up. Readers are instructed to rigorously evaluation and believe the danger elements mentioned from year to year in XTI’s filings with the SEC, together with the ones elements mentioned below the caption “Risk Factors” in its most up-to-date annual document on Method 10-Ok, filed with the SEC on April 16, 2024, and in next reviews filed with or furnished to the SEC.
Contacts
Normal inquiries:
E mail: [email protected]
Internet: https://xtiaerospace.com/contact/
Investor Members of the family:
Crescendo Communications
Tel: +1 212-671-1020
E mail: [email protected]
SOURCE XTI Aerospace, Inc.
