AISIX Solutions Inc. and Re: Drying Equipment Inc. Announce Proposed Reverse Takeover Transaction
Distressed wildfire-analytics shell pivots to reverse takeover with profitable industrial drying firm, reshaping its survival path.
AISIX Solutions has entered into an amalgamation agreement with Re: Drying Equipment Inc. to effect a reverse takeover of AISIX by Drying. The deal includes a 10:1 share consolidation of AISIX, a share exchange at ~193,332.51 post-consolidation AISIX shares per Drying share (deemed $0.27/share), issuance of ~1.67 million shares to settle $451k of Chairman-related debt, and a required concurrent non-brokered private placement of up to 7.4 million subscription receipts at $0.27 to raise $1.5M–$2.0M. Post-transaction, Drying shareholders will own ~51% of the resulting entity, existing AISIX shareholders ~49%. Trading is halted pending TSXV review under Policy 5.2.
The reverse takeover is a transformational event. It shifts control and fundamentally alters the business from a pre-revenue climate analytics startup to a combined entity dominated by an industrial drying equipment operation (FY2025 unaudited revenue $3.16M, pre-tax profit $485k). The transaction massively dilutes existing AISIX shareholders, whose ownership falls to ~49% of a company now valued at a deemed $0.27 per post-consolidation share – a stark re-rating from the recent $0.01 trading price. The conditional nature (shareholder votes, TSXV approval, minimum $1.5M raise) adds execution risk. The deal is a backdoor listing for Drying, effectively rescuing the public vehicle while providing AISIX with a viable operating business. This is not a routine operational update; it re-architects the company’s capital structure, business line, and future prospects.
AISIX Solutions Inc. is a Canadian climate risk analytics company that developed wildfire risk intelligence platforms (WildfireScore, Climate Genius). It has minimal revenue and has relied on equity financings. Under the reverse takeover, it will amalgamate with Re: Drying Equipment Inc., a company that provides industrial drying equipment and reported unaudited FY2025 revenue of $3.16M. The resulting issuer expects to list as a Tier 2 Industrial Issuer on the TSXV.