Item 5. Market for Registrant’s Common Equity
ITEM
5. MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES
Market
Information
Our
common stock trades on Nasdaq under the symbol “SKYX”.
Holders
As
of March 13, 2025, there were approximately 247 holders of record of our common stock. This number does not include beneficial owners
whose shares may be held in the names of various security brokers, dealers, and registered clearing agencies.
Dividend
Policy
We
have never declared or paid any cash dividends on our common stock.
The
terms of the Series A Preferred Stock and Series A-1 Preferred Stock provide for cumulative cash dividends at an annual rate of 8% of
the original issue price of $25.00 per share of preferred stock, payable quarterly in arrears. In the event the full cumulative dividends
are not paid on a dividend payment date, dividends will accrue on the sum of the original issue price, plus the amount of unpaid dividends,
at an annual rate of 12%, until such date as the Company has paid all previously accrued but unpaid dividends. Holders of Series A Preferred
Stock and Series A-1 Preferred Stock are also entitled to participate in and receive any dividends declared or paid on the Company’s
common stock on an as-converted basis.
We
anticipate that we will retain all available funds and future earnings, if any, for use in the operation of our business and do not anticipate
paying cash dividends, other than those due to holders of our Series A Preferred Stock and Series A-1 Preferred Stock, in the foreseeable
future. In addition, future debt instruments may materially restrict our ability to pay dividends on our common stock. Payment of future
cash dividends, if any, on our common stock will be at the discretion of the board of directors after taking into account various factors,
including our financial condition, operating results, current and anticipated cash needs, the requirements of then-existing senior equity
and debt instruments and other factors the board of directors deems relevant.
Recent
Sales of Unregistered Securities
The
following is a summary of issuances of unregistered securities during the fourth quarter of 2024, to the extent not previously
disclosed in a Current Report on Form 8-K filed by the Company: 100,000 shares of restricted shares of common stock and 100,000
options exercisable into common stock at $1.40 per share vesting quarterly over a year were granted pursuant to agreements regarding
services provided to the Company.
The
sales or issuances of the securities described above were deemed to be exempt from registration pursuant to Section 4(a)(2) of the Securities
Act of 1933, as amended (the “Securities Act”), including Regulation D and Rule 506 promulgated thereunder, as transactions
by the Company not involving a public offering.
Issuer
Purchases of Equity Securities
During
the quarter ended December 31, 2024, the Company withheld 17,486 shares of common stock, at a price per share of $1.15, to satisfy tax
withholding obligations due upon the vesting of a restricted stock grant. We did not pay cash to repurchase these shares, nor was this
repurchase part of a publicly announced plan or program.
Period
Total Number of Shares Purchased (1)
Average Price Paid per Share
Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs
Maximum Number of Shares That May Yet be Purchased Under the Plans or Programs
October 1, 2024 - October 31, 2024
656
$ 1.26
-
-
November 1, 2024 - November 30, 2024
390
1.09
-
-
December 1, 2024 - December 31, 2024
16,440
1.15
-
-
Total
17,486
$ 1.15
-
-
(1) Includes
shares repurchased to satisfy tax withholding obligations due upon the vesting of restricted
stock held by certain employees. We did not pay cash to repurchase these shares, nor were
these repurchases part of a publicly announced plan or program.
ITEM
6. [RESERVED]
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