Adventurous investors should be ready for a wild ride in the shares of a small Artificial Intelligence company that is now moving apace.
Last October Cykel AI floated on the Aquis Exchange, taking the first stage of its potential development on what is sure to become a much-watched project.
Earlier this year a Main Market listed company, Mustang Energy (LON:MUST), agreed to acquire the Cykel AI business in an all-share deal, valuing it at £19.22m.
In what is effectively a Reverse Takeover, Cykel has taken control of the Main Listed vehicle.
The Cykel AI Business
Cykel AI is a software business developing advanced artificial intelligence products, intending to offer these to consumers through a ‘software as a service’ (SaaS) model.
The company is developing a machine learning model that seamlessly engages with all facets of the user’s computer environment.
The model will be trained to harness the capabilities of all existing software tools, application programming interfaces (APIs), and web-based applications, a novel methodology for task execution, translating user objectives articulated in plain language into tangible actions executed within their daily software applications.
The company’s software is intricately designed and trained to execute commands in response to natural language directives, specifically within the realm of computer interfaces.
Still A Very Early-Stage Developer
Cykel is an early-stage company that intends to grow quickly through the operation of a software business engaged in the development of advanced artificial intelligence (AI) products.
The rise of potent Natural Language Processing (NLP) text generators, exemplified by OpenAI’s ‘GPT-4’, will serve as a catalyst for the widespread adoption of AI-driven business applications.
As NLP-based text generators gain mainstream prominence, Cykel anticipates organisations embracing specialised ‘value add’ applications that augment their business operations.
This strategic orientation underscores Cykel’s expectation of a burgeoning market for business applications propelled by the maturation of NLP technology.
Cykel has developed an AI-Powered Task Operating System as a Google Chrome extension.
This core software, including all front and back-end coding, integration work with third party providers, and publishing of Cykel’s extension was completed in Q4 2023.
Cykel’s AI-Powered Task Operating System (Task OS) is designed to bring AI capabilities to the world of task management, providing users with a platform for streamlined workflows, intelligent task prioritisation and cross-platform integration.
Mustang and Cykel AI
The Combined Group intends to expand in the following areas:
· B2B Sales: Cykel intends to market directly to B2B companies and expand its marketing in the UK, Europe and North America. The goal is to grow a client base materially in 2024 based on the successful launch of the product in Q1 2024.
· Partnerships: Cykel intends to market through partnerships with organisations that are selling to the B2B software market.
· Technology: Cykel intends to offer more software features as it expands its client base. The technology roadmap will be driven primarily by user feedback from both customers and project partners.
Cykel’s AI software aims to be available on a ‘freemium’ basis.
As such, the basic usage tier will be free, but ‘software as a service’ fees will be incurred over a certain amount of requests per month.
Management Comment
On 10th May Alan Broome, Chairman of Mustang, informed his investors that:
“The Acquisition presents an exciting opportunity for Mustang shareholders to engage in the burgeoning growth of a dynamic, young company.
Cykel’s innovative AI-Powered Task Operating System stands poised to revolutionise organisational efficiency, automating repetitive tasks and furnishing invaluable data-driven insights for strategic decision-making.
We firmly believe this Acquisition aligns with our strategic objectives and offers compelling financial prospects for our shareholders.”
At the same time, Jonathan Bixby, Executive Chairman of Cykel, stated that:
“We are very excited about the prospects of trading on the London Stock Exchange.
The field of Artificial Intelligence is one of the most exciting technology trends in the world and allowing more investors access to this trend is a positive outcome for Cykel and our shareholders.”
Change Of Name To Cykel AI Plc
Yesterday it was announced that the company (formerly Mustang Energy PLC) has changed its name to Cykel AI PLC.
Following the name change, the Company’s ticker symbol, under which its shares are traded on the Main Market of the London Stock Exchange, will be changed to CYK.
The Shares
The enlarged group’s shares are now trading at around the 5.50p level.
With the massive investor interest in the AI sector, the big question now is are you ready to ride this CYKlone?