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Cykel AI in talks about 'significant' equity investment

(Sharecast News) - Shares in Cykel AI dropped sharply on Wednesday, pulling back after a surge over the past few days, as the AI product and research company confirmed speculation of "possible significant equity investment". The firm said it was in "advanced discussions" with a strategic investor group to raise funds to develop the existing business and support its treasury strategy, which could allow investments in Solana and stablecoins.

Cykel AI announced in May the adoption of a bitcoin treasury reserve strategy, "aligning the company with forward-thinking public enterprises integrating digital assets into corporate treasury management".

After hitting a record-low of 1.3p last week, the stock had surged more than 55% over Monday and Tuesday to hit 2.22p - though remains significantly lower than the 8p level reached this time last year. By 0817 BST on Wednesday, the shares had retreated 26% to 1.64p.

"The possible investment, which is expected to be priced at a significant discount to the closing price on Friday 22 August 2025, will be subject to shareholder approval," Cykel said in a statement.

"These discussions may or may not lead to the completion of the possible investment on these or similar terms. The company will update the market in due course."

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