The artificial intelligence industry has grown at a remarkable rate over the past half a decade or so and it is expected to grow even faster in the coming years.
This brings us to the case of Artificial Intelligence Technology Solutions (OTCMKTS:AITX), which has recorded remarkable gains in recent times.
On Monday, Artificial Intelligence Technology Solutions (OTCMKTS:AITX) rallied by another 127% and in this sort of situation; it might be a good idea for investors to perhaps take a closer look at the company.
In order to understand the rally in the AITX stock, investors would need to consider some of the recent developments.
Back on December 15, the company made a major announcement with regards to the restructuring of its debt. The move is a significant one since it could potentially guard against dilution of the AITX stock in the future. The company has considerable debts but in the debt restructuring move, AITX turned 85% convertible debentures into warrants and non-convertible notes.
The rest of the debenture holders have not actually converted any of their holdings in the past couple of years and AITX does not expect them to do so either. The move was a bold one and it seems to have been welcomed by investors as well.
However, that is not all. There have been other key developments as well that ought to be mentioned. On December 17, AITX announced that its subsidiary Robotic Assistance Devices signed a dealer agreement with Romania’s Civitas Group. Civitas is one of the biggest security firms in Romania.
The agreement also stipulates that Civitas is going to expand its range of products in order to include remote security products manufactured by RAD.
These are two of the most significant developments for AITX in recent times and the rally in the stock is quite understandable. Investors could do well to keep an eye on the stock over the coming weeks.
Disclaimer: We hold no position on AITX