Cykel AI PLC (LSE:CYK) shares were some 23% lower in Wednesday's trade after it flagged "advanced discussions with a strategic investor group", which may make a significant equity investment.
The potential equity raise would fund development of the business and a revised treasury strategy enabling investment in Solana and stablecoins, the company said in a brief statement.
Cykel AI said any investment would be “priced at a significant discount to the closing price on Friday 22 August” and would be subject to shareholder approval, and, as is customary, cautioned that the talks may or may not lead to completion on these or similar terms.
Wednesday's 23% pullback to 1.69p per share comes after Cykel shares in recent days spiked up as high as 2.2p yesterday from Friday's close at 1.44p.