Creatd Inc. has completed the sale of its remaining 80% equity stake in subsidiary Fly Flyte Inc. to Catheter Precision Inc., a New York Stock Exchange-listed company. The transaction provides Creatd with approximately $6 million in cash and nearly $6 million in Convertible Preferred Stock of Catheter Precision, significantly strengthening the company's balance sheet.
The sale aligns with Creatd's established strategy of developing turnkey operating solutions that prepare businesses for public market listings while maintaining minority interests. This transaction positions Creatd as a significant shareholder in Catheter Precision, adding NYSE-listed equity to its growing portfolio of public and private positions across diversified industries. The company's technology and AI-first operational infrastructure supports this portfolio approach.
Creatd acquired Flyte approximately one year ago after initiating due diligence in the fourth quarter of 2024. The company implemented a disciplined turnaround strategy focused on operational optimization, technology integration, and targeted revenue growth, positioning Flyte for acquisition by a nationally-listed platform. While the initial acquisition utilized financing and OTC Pink Sheet common stock, the exit consideration consists of cash and preferred equity in a New York Stock Exchange-listed company.
Jeremy Frommer, Chairman and CEO of Creatd, stated that the company will continue pursuing its national exchange listing strategy this year without relying on traditional financing structures that often consume companies lacking balance sheet value. The recent reverse split completed without accompanying financing represented an important step toward meeting national exchange listing requirements, with the asset sale now providing capital for the next phase.
"Our balance sheet value is created through acquisition and incubation strategies for exchange-listed entities, where operating businesses can develop and position themselves for long term success," Frommer explained. "At the same time, Creatd is building value from a portfolio of investments that leverage proprietary technology and process."
Creatd represents one of the few turnaround-focused publicly traded platforms in the small-cap and micro-cap M&A space, with plans to institutionalize this model as the company expands its platform. Frommer identified a significant opportunity to address the structural gap created by middle market contraction over the past two decades, noting that many public companies lack the infrastructure and support needed to reach their full potential.
"We are building a platform that helps companies stabilize, scale, and ultimately reach national exchange listings while creating lasting value," Frommer continued. The strategic relationship between Creatd and Catheter Precision will continue through ongoing collaboration in aviation and eVTOL logistics platform development.
For more information about Creatd's operations and strategy, visit https://www.creatd.com. Details about Flyte's operations as a technology-enabled regional air mobility company can be found at https://www.flyte.travel. The company's latest news and updates are available through its newsroom at https://tinyurl.com/crtdnewsroom.
