The amount of Solana held by treasury firm SkyAI fell by about 70% in less than a month, while a 400,000 SOL discrepancy between two disclosures prompted a major shareholder to demand answers about the sales.
According to The Block, Bastion Trading, which owns approximately a 10% stake in SkyAI, objected to the company’s Solana sales and share buyback offer. In a statement on October 14, Bastion said it would not participate in the buyback offer until its concerns were addressed. At the center of the dispute is how much SOL the company had left after the sale it previously disclosed.
400,000 SOL difference between two disclosures
On September 14, SkyAI said it held more than 2 million SOL in its treasury, worth approximately $207 million at the time. The company also emphasized its commitment to its Solana treasury strategy during the same period.
However, in its October 11 buyback announcement, it said it had sold approximately 1 million SOL and had about 1 million SOL remaining. In an 8-K filing submitted on October 13, the remaining amount was listed as approximately 600,000 SOL. As a result, the disclosed treasury balance had shrunk by about 70% in less than a month.
The latest filing did not explain the 400,000 SOL difference between it and the balance disclosed on October 11. Bastion wants to know the dates, amounts, and prices of the latest sales, as well as the proceeds. The investment firm also called for disclosure of who approved the transactions and how, describing the sales as a “fundamental departure” from SkyAI’s treasury strategy.
Disagreement over price in $200 million buyback
SkyAI plans to use the proceeds from its SOL sales to buy back up to 95% of its outstanding shares and warrants for approximately $200 million. The $3 per share offer is not enough for Bastion; the major shareholder wants the price raised to at least $3.50.
Bastion also called for warrants granted to strategic advisers to be excluded from the buyback. The firm said these warrants were granted to an entity controlled by the brother of SkyAI’s chief investment officer.
The objections were not limited to price. Bastion also reiterated its call for a complete overhaul of the board. In the September vote, votes against all five board members exceeded votes in support. Nevertheless, the members remained in their positions because the ballot did not include an option to remove them.
Not investment advice.