XERIANT INC

Xeriant, Inc. (the “Company”) is dedicated to the discovery, development and commercialization of disruptive technologies in advanced materials and aerospace which can be successfully integrated and commercialized for deployment across multiple industrial sectors. The Company seeks to partner with and acquire strategic interests in visionary companies that accelerate this mission. Xeriant’s advanced materials line, when available, will be marketed under the DUREVER™ brand, and includes NEXBOARD™, an eco-friendly, patent-pending composite construction panel made from plastic and fiber waste, designed to replace products such as drywall, plywood, OSB, MDF, MgO board and other materials used in construction.

Corporate History

Formation of Company

The Company was originally incorporated in Nevada on December 18, 2009, under the name Eastern World Solutions, Inc. The name was changed to Banjo & Matilda, Inc. on September 24, 2013. Effective June 22, 2020, the Company changed its name from Banjo & Matilda, Inc. to Xeriant, Inc.

Share Exchange with American Aviation Technologies

On April 16, 2019, the Company entered into a Share Exchange Agreement with American Aviation Technologies, LLC (“AAT”), an aircraft design and development company focused on the emerging segment of the aviation industry of autonomous and semi-autonomous vertical take-off and landing (VTOL) and unmanned aerial vehicles (UAVs).

On June 28, 2019, the Company spun out two wholly owned subsidiaries: Banjo & Matilda (USA), Inc. and Banjo & Matilda Australia Pty LTD.

On September 30, 2019, the acquisition of AAT closed, and AAT became a wholly owned subsidiary of the Company.

Joint Venture with XTI Aircraft

Effective May 31, 2021, the Company entered into a Joint Venture with XTI Aircraft Company (“XTI”), named Eco-Aero, LLC, with the purpose of completing the preliminary design review (“PDR”) of XTI’s eVTOL fixed wing aircraft. XTI and the Company each own 50 percent of the XTI JV, and it is managed by a management committee consisting of five members, three appointed by the Company and two by XTI. The Company invested approximately $5.5 million into the joint venture after borrowing the funds from Auctus Fund LLC (“Auctus”) through a Senior Secured Promissory Note, through an introduction from Maxim Group, LLC, the Company’s investment banker at the time. The borrowed funds from Auctus were intended to be a bridge loan that would be resolved through an IPO (Initial Public Offering) and uplist to Nasdaq in a merger with XTI, which did not occur because XTI refused to move forward with the merger. The PDR was completed during the first quarter of 2022 according to XTI, which was the purpose of the joint venture.

On May 17, 2022, the Company signed a Letter Agreement with XTI related to the introduction of XTI to Inpixon, a Nasdaq-listed company. Under this Letter Agreement, if there was a combination or other transaction between XTI and Inpixon, the Company would receive compensation of six (6) percent of XTI fully diluted pre-merger shares, and XTI would assume the obligations of Xeriant’s Senior Secured Note with Auctus Fund, LLC. On May 31, 2023, the joint venture was terminated according to an Acceleration Event, which was 24 months from the start of the joint venture. On June 5, 2023, after suspecting that the obligations under the Letter Agreement were possibly being evaded, the Company transmitted a formal demand letter to XTI requesting compliance with the provisions outlined in the Letter Agreement, and in accordance with section 8 of the JV Agreement with XTI. On July 25, 2023, Inpixon filed an 8-K, announcing their intention to merge with XTI having executed an Agreement of Plan and Merger with XTI. The filing also showed that XTI had engaged in a transaction with Inpixon on March 10, 2023, receiving $300,000 in funding, which was a compensation triggering event. Inpixon subsequently filed an S-4/A registration statement on October 6, 2023. On December 6, 2023, the Company initiated legal proceedings against XTI. See Litigation Section at Note 8 below for a summary of the related legal proceedings.

Auctus Fund, LLC Senior Secured Note

Through Maxim Group, LLC, the Company was introduced to Auctus Fund LLC (“Auctus”) for the purpose of providing bridge loan funding to satisfy the requirements of a pending merger with XTI Aircraft under a letter of intent signed in September 2021. On October 27, 2021, the Company issued a convertible note payable with Auctus with the principal of $6,050,000, consisting of $5,142,500, which was the actual amount funded, plus an original issue discount in the amount of $907,500 for interest on the unpaid principal amount at the rate of zero percent per annum from the issue date until the note becomes due and payable. The closing costs were $433,550, which included $308,550 in fees paid to Maxim and professional fees for completing the transaction. The Note had an initial due date of October 27, 2022. The Auctus Note provides the holder has the option to convert the principal balance to common stock of the Company at a conversion price of the lesser of (i) $0.1187 or (ii) 75% of the offering price per share divided by the number of shares of common stock. The Auctus Note is secured by the grant of a first priority security interest in the assets of the Company. In connection with the Auctus Note, the Company issued warrants indexed to an aggregate of 50,968,828 shares of common stock. The warrants have a term of five years and an exercise price of $0.1187. The exercise price can be adjusted downward to match the price of the Company’s most recent issuance of common shares.

Effective August 1, 2022, the Company entered into an Amendment to the Senior Secured Promissory Note (the “First Amendment”) with Auctus pursuant to which the parties agreed to amend the Auctus Note. The Amendment (i) extended the maturity date of the Auctus Note to November 1, 2022, and (ii) extended the dates for the completion of the acquisition of XTI Aircraft and the uplist of the Company’s common stock to a national securities exchange to November 1, 2022. In consideration of the Amendment, the Company agreed to (i) grant to Auctus a new Warrant to purchase 25,000,000 shares of common stock dated July 26, 2022 (the “Warrant”) at an exercise price of $0.09 per share and 5-year term; (ii) make a prepayment of the Note in the amount of $100,000; and (iii) cause a director of the Company to cancel his 10b-5(1) Plan.

Effective December 27, 2022, the Company entered into a Second Amendment to the Senior Secured Promissory Note (the “Second Amendment”) with Auctus pursuant to which the parties agreed to further amend the Auctus Note. The Second Amendment (i) extended the maturity date of the Note, the obligation to uplist to a national securities exchange and acquisition of XTI Aircraft Company to March 15, 2023, and (ii) extended the date to file an S-1 registration statement to uplist the Company’s common stock to a national securities exchange to January 15, 2023. In consideration of the Amendment, the Company agreed to (i) grant to Auctus a new Warrant to purchase 250,000,000 shares of Common Stock dated December 27, 2022 (the “New Warrant”) at an exercise price of $0.09 per share and 5-year term, and (ii) make two pre-payment installments of $50,000 on January 15, 2023, and February 15, 2023. On October 6, 2023, the Company received a conversion notice to issue 20,011,500 shares of the Company’s common stock to Auctus which shares were subsequently issued by the Company’s stock transfer agent and the value of the relating shares applied to interest on the Note. The Company is contesting the legality of this conversion and issuance which is a subject of the Company’s legal proceedings against Auctus.

The Company tested the first modification (“First Amendment”) under ASC 470-50-40 to determine if the modification resulted in an extinguishment. It was determined the present value of the cash flows under the terms of the new debt instrument was at least 10 percent different from the present value of the remaining cash flows under the terms of the original instrument. As a result, the modification resulted in a loss on an extinguishment in the amount of $3,570,366 for the year ended June 30, 2023. The Company tested the second modification (“Second Amendment”) under ASC 470-50-40 to determine if the modification resulted in an extinguishment. It was determined the present value of the cash flows under the terms of the new debt instrument was at least 10 percent different from the present value of the remaining cash flows under the terms of the original instrument. As a result, the modification resulted in a loss on an extinguishment in the amount of $689,621 for the year ended June 30, 2023.

On October 19, 2023, Xeriant filed a complaint against Auctus. See Litigation Section at Note 8 below for a summary of the related legal proceedings.

As of June 30, 2024, a total of $50,000 remained outstanding, and was recorded within accounts payable and accrued liabilities on the consolidated balance sheets. As of June 30, 2025, the $50,000 accrued liability was consolidated into the balance of the convertible note payable. During the year ended June 30, 2024, the Company recorded $1,070,729 in default interest related to the note. On October 6, 2023, Auctus converted $200,115 in interest into 20,011,500 shares of common stock and on April 5, 2024, Auctus converted $227,067 in interest into 22,706,700 shares of common stock. As of June 30, 2025 and 2024, the balance of accrued interest of this note was $6,543,546, which is recorded in the accounts payable and accrued liabilities section of the consolidated balance sheets.

OUR BUSINESS SUMMARY

Introduction

Transformative aerospace technologies, including eco-friendly specialty materials, have been successfully commercialized and integrated across multiple industry sectors, and have led to a more prosperous and interconnected global economy. These advancements are producing next-generation materials that can affect every facet of our lives with improved safety, durability and decreased environmental impact.

Company Overview

Xeriant, Inc. (the “Company”) is dedicated to the discovery, development and commercialization of disruptive technologies in advanced materials and aerospace. The Company seeks to partner with and acquire strategic interests in visionary companies that accelerate this mission. Xeriant’s advanced materials line is marketed under the DUREVER™ brand, and includes NEXBOARD™, an eco-friendly, patent-pending composite construction panel made from plastic and fiber waste, designed to replace products such as drywall, plywood, OSB, MDF, MgO board and other materials used in construction.

Advanced Materials

A primary focus of the Company is the development and commercialization of eco-friendly advanced materials, especially in the area of nanotechnology, which have applications across a broad range of industries and the potential to generate significant near-term revenue. The Company’s strategy encompasses licensing arrangements, joint ventures, or combinations which could allow for more rapid access to the market with reduced capital requirements and financial risk. Some partner companies may provide production and distribution infrastructure, which could streamline testing and certification as well as add brand recognition. Once the Company establishes sufficient production capabilities, the advanced materials may be sold as standalone products, enhancements to existing products, or used in the development of proprietary products under new trademarked brands owned by the Company. The Company is exploring manufacturing and branding opportunities for specific products derived from advanced materials acquired or developed, which would involve setting up production facilities, equipment, systems and supply chains.

Starting in 2023, the Company began developing its own advanced materials, including proprietary flame-retardant technology for polymers contained in recycled materials. In 2024, the Company began testing a number of production processes to manufacture its eco-friendly, patent pending, composite construction panel called NEXBOARD so that it can be competitive in the market and produced on an industrial scale. The Company plans to initially manufacture its wallboards through contract manufacturers to meet expected demand indicated by a number of homebuilders and developers.

During the first quarter of 2025, the Company appointed two Senior Advisors who are experts in nanomaterials, which helped to expand the Company’s portfolio of advanced materials and products, which now includes access to specific nanotechnologies for addressing deficiencies in the properties of wood, asphalt, concrete, and plastic composites, as well as addressing the performance of fuel and stopping the spread of wildfires. Management believes that incorporating nanotechnology in NEXBOARD will significantly improve its fire resistance and thermal stability based on internal testing. NEXBOARD will be available in varying thicknesses and sizes, including standard 48” x 96” sheets. The Company will need to have this product certified for use in the construction industry, which is in process. If the Company decides to set up its own manufacturing facilities it will need to raise significant capital, which may or may not be available depending on market conditions and other factors. The Company has had ongoing discussions with an investment bank interested in financing these facilities and operations through a series of green bond issuances although no engagement agreement has been entered into.

On August 12, 2022, the Company filed a trademark application with the U.S. Patent and Trademark Office for “NEXBOARD,” with respect to construction panels, namely, composite sheets and panels composed primarily of plastic, reinforcement materials and fire-retardant chemicals for use in walls, ceilings, flooring, framing, siding, roofing and decking. The trademark filing was intentionally broad and based upon demand for a general all-purpose construction panel made from a mixture of fire-retardant and recycled materials. Xeriant has also filed a trademark application for “DUREVER™.”

On March 31, 2023, the Company filed a provisional patent application titled “Multilayered Fire-Resistant Polymer Composite and Method for Producing Same,” for a method of producing a unique fire-resistant thermoplastic and fiber composite material which may be formed or shaped into various construction products of different thicknesses and dimensions. This green material will be composed primarily of recycled plastic, cellulose and ecofriendly fire-retardant chemicals, including but not limited to use in walls, ceilings, flooring, framing, siding, roofing, molding, and decking, used in construction. On April 1, 2024, the Company filed a non-provisional U.S. patent application claiming priority to the filing date of the 2023 related provisional patent application described herein. Subject to available capital, the Company is planning to build manufacturing facilities in the United States for the production of NEXBOARD™ in order to meet market demand or alternatively license the technology and process. The Company is already working with companies for near-term contract manufacturing, has potential locations identified for a pilot plant and larger manufacturing facilities, received bids for specialized manufacturing equipment, developed timetables related to the action plan, and selected a managing director with decades of experience who would like to oversee the startup of production, expansion and operations.

The Company seeks to develop or acquire and commercialize disruptive, high-growth-potential technologies in aerospace, including next-generation air and spacecraft, that have potential applications in other industries. The areas of focus that are reshaping the future of aerospace include advanced materials, advanced air mobility, unmanned aerial systems (drones), AI, hypersonics, communications, cybersecurity, satellites, and renewable energy technology. The Company’s initial concentration was on the emerging aviation market called advanced air mobility (AAM), the transition to more efficient, eco-friendly, automated and convenient flight operations, enabled by the convergence of technological advancements in design and engineering, composite materials, propulsion systems, battery energy density and manufacturing processes. Next-generation aircraft being developed for this market offers low-cost, on-demand flight for passengers and cargo, utilizing lower altitude airspace and bypassing the traditional hub-and-spoke airport network with vertical takeoff and landing (VTOL) capabilities. Many of these lightweight aircraft are electrically powered through either hybrid or pure battery systems, which allows for quieter, low emission flights over urban areas, however with limited speed and range. Hydrogen powered aircraft have already been prototyped and are expected to become more prevalent over the next decade. The development of solid-state hydrogen technology may address the safety, large-area storage requirement limitations for gaseous-state hydrogen. The Company plans to partner with and acquire strategic interests in visionary companies that accelerate our mission of commercializing critical breakthrough aerospace technologies which enhance sustainability, performance, and safety.

In the area of aerospace, management believes that the Company can grow expeditiously by acquiring technology and assets primarily through acquisitions, joint ventures, strategic investments, and licensing arrangements. As a publicly traded company, the Company offers partner companies such benefits as improved access to capital, higher valuations and lower risk through the shared ownership of a diversified portfolio, while allowing these entities to maintain independence in their distinct operations to focus on their fields of expertise. Cost savings and efficiencies may be realized from sharing non-operational functions such as finance, legal, tax, sales & marketing, human resources, purchasing power, as well as investor and public relations.

Industry Overview

Advanced Materials

Aerospace innovation has been at the forefront of many important scientific, technological, design and engineering breakthroughs which have had broad implications across non-aerospace sectors of the economy. Research and development initiatives originally intended for aerospace applications have contributed to advances in composites and other advanced materials, health care, transportation, telecommunications, agriculture, and manufacturing, and have led to the commercialization of new technologies and products that have positively impacted our daily lives.

One of the most recognized areas of research where the aerospace industry has played a major role is polymer chemistry, which includes the development of plastics technologies and fire retardants in plastics, coatings and adhesives. Technical improvements in aircraft design have shifted from a focus on speed and range to efficiency and sustainability, creating the need for advanced materials in aerostructures and engines that are lightweight and resistant to extreme heat. Plastic composites using carbon fiber are increasingly used in the structural components of aircrafts, replacing aluminum. Additionally, aircraft interior design incorporates lighter, flame-resistant polymer materials and engineered alloys for panels, seats and various components to reduce weight.

Advanced polymer materials with superior performance characteristics, including flame-resistance with non-toxic gases, have wide applicability in the construction industry. Plastic composite boards may be fabricated from a range of polymers, including polypropylene (PP), polyethylene (PE), polystyrene (PS), polyvinyl chloride (PVC) and polyamide (PA), which are inherently water-resistant, and reinforced with a variety of materials, including cardboard or cellulose fiber, wood, various minerals, fiberglass, or carbon, which provide increased mechanical strength. Additives, surface treatments and decorative finishes can further enhance the properties construction products like wallboards, which can be manufactured in standard sizes and become a replacement for gypsum and wood-based structural panels such as drywall, plywood, Oriented Strand Board (OSB) and Medium Density Fiberboard (MDF), and flooring. Composite boards made from recycled plastic and fiber are considered green building products, not only because they decrease the amount of waste materials from landfills, but because they have insulating properties that can cut energy costs. When infused with a non-toxic flame retardant, these eco-friendly composite panels can be an effective passive fire protection system, providing superior safety and minimizing property damage from flame spread and smoke.

The construction industry is seeing an accelerating demand for sustainable building practices, which is expected to drive the market growth of green building materials, as well as promote the use of non-toxic chemicals, including flame retardants. Green building materials are an environmentally friendly solution because they are produced from safe, recyclable products, which help in conserving non-renewable resources and mitigating environmental and human health considerations. Moreover, green building materials have become a durable and energy-efficient solution that makes them suitable for various infrastructure applications. As part of a major rebuilding of aging infrastructure across the globe, investments in renovations and retrofit construction, including the replacement of decaying underground materials, often mandate the use of green materials and building methods. New construction of governmental buildings, office complexes, schools and residential structures is increasingly employing eco-friendly alternatives for insulation, concrete, wallboard and rebar, which often have similar or superior performance when compared with conventional materials. Several developing countries are launching programs with subsidies and incentives to spur growth in the market and spread awareness about alternative construction methods with the goal of supplying affordable and sustainable housing. In the U.S., LEED (Leadership in Energy and Environmental Design) is the most widely used rating system for green building practices.

The Need to Replace Gypsum Wallboards

Traditional drywall, primarily made from gypsum, poses environmental challenges, necessitating its replacement. Gypsum, when landfilled, can release hydrogen sulfide gas, a toxic and odorous compound that harms air quality and poses health risks. Additionally, gypsum contributes to landfill leachate, contaminating soil and groundwater. Sustainable alternatives, such as nanotechnology-enhanced composites like NEXBOARD, offer eco-friendly solutions. These materials, often made from recycled components, provide superior strength, fire resistance, and water resistance without hazardous byproducts. Replacing gypsum-based drywall reduces environmental impact, aligns with green construction goals, and supports the industry’s shift toward sustainable, high-performance building materials.

The Need to Replace Wood Products in Construction

Wood products in construction raise safety and environmental concerns, driving the need for alternatives. Wood is susceptible to fire, rot, and pest damage, compromising structural integrity and safety. Environmentally, deforestation for timber contributes to habitat loss, biodiversity decline, and carbon emissions, with the construction industry consuming significant natural resources. Sustainable alternatives, like nanotechnology-enhanced composites such as NEXBOARD, offer superior fire resistance, durability, and eco-friendliness, often using recycled materials. Replacing wood reduces deforestation, lowers environmental impact, and aligns green construction goals, supporting a shift toward safer, sustainable building materials for a resilient future.

The aerospace industry is undergoing a transformative phase, driven by innovative technologies that enhance performance, sustainability, and efficiency. Among these, advanced materials, particularly those enabled by nanotechnology, play a pivotal role, alongside additive manufacturing, artificial intelligence (AI), and sustainable propulsion systems. These advancements are reshaping aircraft design, manufacturing, and operations to meet the demands of a rapidly evolving global market. The aerospace industry continues to evolve and adapt as market conditions change and as technological innovation enables the development of aircraft with new capabilities, applications and business cases. Next-generation aircrafts are more efficient, sustainable, reliable, automated and safer through technological improvements in design optimization and modeling, composites and advanced materials, artificial intelligence (AI), sensors, autonomy, alternative propulsion systems and manufacturing processes. Many of the airframe configurations enabled by these developments are being designed for the emerging aviation market called Advanced Air Mobility (AAM), the integration of new aircraft designs and flight technologies to move people and cargo between places not usually served by existing ground or air transportation. Increasing automobile traffic congestion in many urban environments demands alternative transportation solutions such as eco-friendly air taxi services and urban air mobility to improve the quality of life for city residents. In addition to being quieter with less or no carbon emissions, it is anticipated that these new aircraft will have lower operating, maintenance, and repair costs compared with other aircraft, including helicopters. For widespread adoption, it is critical that AAM services provide consumers with a strong value proposition to become an alternative to traditional ground transportation.

Advanced Materials and Nanotechnology: Advanced materials, such as carbon fiber composites and nanomaterials, are revolutionizing aerospace engineering. Carbon fiber reinforced polymers (CFRP) offer high strength-to-weight ratios, reducing aircraft weight and improving fuel efficiency. Nanotechnology enhances these materials by embedding nanoparticles, like carbon nanotubes or graphene, into composites, resulting in superior strength, thermal resistance, and durability. For instance, nano-enhanced coatings protect against corrosion and extreme temperatures, extending component lifespans. These materials also enable lightweight structures, critical for next-generation aircraft and spacecraft, reducing emissions and operational costs. The smart nano-construction materials market, valued at USD 12.5 billion in 2023, is projected to reach USD 17.7–18.7 billion by 2032, reflecting growing adoption in aerospace applications.

Additive Manufacturing (3D Printing): Additive manufacturing is transforming aerospace production by enabling complex, lightweight components that traditional methods cannot achieve. 3D-printed parts, such as turbine blades and fuel nozzles, reduce material waste and production time while allowing for customized designs. Companies like Boeing and Airbus use additive manufacturing for prototyping and producing critical components, improving supply chain efficiency and reducing costs. The technology also supports the integration of advanced materials, further enhancing performance.

Artificial Intelligence and Autonomy: AI is revolutionizing aerospace through predictive maintenance, flight optimization, and autonomous systems. Machine learning algorithms analyze sensor data to predict component failures, minimizing downtime and enhancing safety. AI-driven flight control systems optimize fuel consumption and navigation, while autonomous drones and urban air mobility vehicles, such as eVTOLs (electric vertical takeoff and landing aircraft), are redefining short-range transport. These advancements improve operational efficiency and pave the way for fully autonomous aircraft.

Sustainable Propulsion Systems: The push for sustainability is driving the development of electric and hybrid propulsion systems. Electric aircraft, powered by lightweight batteries or fuel cells, aim to reduce carbon emissions, aligning with global decarbonization goals. Hydrogen propulsion, leveraging advanced materials for storage and fuel systems, is gaining traction for long-range applications. These technologies address the aerospace industry’s contribution to global emissions, which accounts for approximately 2% of carbon dioxide output, according to recent estimates.

Intellectual Property

On March 31, 2023, the Company filed a provisional patent application titled “Multilayered Fire-Resistant Polymer Composite and Method for Producing Same,” for a method of producing a unique fire-resistant thermoplastic and fiber composite material which may be formed or shaped into various construction products of different thicknesses and dimensions. This green material will be composed primarily of recycled plastic, cellulose and ecofriendly fire-retardant chemicals, including but not limited to use in walls, ceilings, flooring, framing, siding, roofing, molding, and decking, used in construction. On April 1, 2024, the Company filed a non-provisional U.S. patent application claiming priority to the filing date of the 2023 related provisional patent application described herein.

The Company owns a 64% interest in its subsidiary, American Aviation Technologies, LLC (“AAT”), which owns a patented VTOL drone/aircraft concept called Halo. All intellectual property rights to Halo, including patents and applications for patents, were acquired on October 2, 2018. A Halo utility patent was filed on September 28, 2018, which was a continuation of U.S. Patent Application Serial No. 12/157,180, filed June 5, 2008, which claimed the benefit of and priority to U.S. Patent Application Serial No. 60/941,965, filed June 5, 2007, with both prior applications fully incorporated in their entireties and for all purposes. With respect to the first and subsequent utility patent application filings we have received the following U.S. Patents, namely, U.S. Patent No. 10,450,063 issued on October 22, 2019; U.S. Patent No. 10,814,974 issued on October 27,2020; and U.S. Patent No. 11,597,512 issued on March 7, 2023.

The Company has filed trademark applications with the U.S. Patent and Trademark office with for the following marks currently pending: Xeriant name, “Innovation Soaring,” “Evolution in Flight,” “NEXBOARD™,” “BlueGreen,” “Technologies that define the future,” and “DUREVER™.”

Market Opportunity

The Company focuses on disruptive and transformative technologies with broad applications across high value industries, identifying those with exceptional market opportunities, which can be the basis for potential acquisitions, strategic partnerships or licensing arrangements. Early-stage technology companies as well as established companies that have developed breakthrough, high-market-potential technologies, unique intellectual property, that are past the concept/seed capital stage or may be at an inflection point for growth, can be the basis for potential acquisitions, strategic partnerships, licensing arrangements, or initial public offerings. Some companies may already be generating revenue while others have a clear path to revenue, while others have the potential for a combination or roll-up. In some cases, their technology originated and was developed out of an academic environment. As a strategic partner or acquiror, the Company can provide individuals and companies with access to capital, liquidity through an exchange of equity, new market opportunities and synergistic contacts, and university relationships for research and grants, while maintaining partners’ operational independence. The Company believes that entrepreneurial spirit, passion, and vision are critical to success, and that it can provide entrepreneurial teams with strategic guidance to execute their business plan, access to financial markets, and investor liquidity.

Advanced Materials

A few years ago, the Company recognized the rapidly growing green construction materials market, and began working to develop advanced materials as a critical area of technology to address the need for next generation building products. The Company has developed a nanotechnology-enhanced composite construction panel, called NEXBOARD, made from plastic and fiber waste to replace products such as drywall, plywood, OSB, MDF, MgO board and other materials used in construction. NEXBOARD is resistant to fire, water, mold and insects.

This innovation has generated strong interest from key players in the real estate development and construction industries as well as building materials wholesalers and retailers in the U.S. These companies are looking to participate in the circular economy and for alternatives to the hazardous waste created from drywall, toxic chemicals used in some flame retardants, and wood because of deforestation and its degradation when exposed to fire or water, a major safety issue as many have experienced with storms that cause massive flooding and with devasting wildfires. In addition to applications related to building materials, because of their exceptional fire- and water-resistant properties, the Company’s nanotechnology-enhanced composites have high utility value in a multitude of industries, including but not limited to recreational vehicles, boats, containers and pallets, furniture, and cabinetry, so there will be ongoing opportunities for revenue growth. If and when available, the Company’s advanced materials line will be marketed under the DUREVER brand.

NEXBOARD is initially poised to capitalize on the burgeoning green construction materials market, projected to reach USD 1.8 trillion by 2030, per a 2024 World Economic Forum report. The construction industry, consuming 60% of natural resources and contributing 40% of global carbon dioxide emissions, faces increasing demand for sustainable alternatives. NEXBOARD’s lightweight design, exceptional fire resistance, and water, mold, and insect resistance position it as a superior substitute for traditional materials like gypsum drywall, plywood, and OSB.

The smart nano-construction materials market, valued at USD 12.5 billion in 2023, is expected to grow to USD 17.7–18.7 billion by 2032 (CAGR 4.5–4.9%), driven by demand for high-performance, eco-friendly materials. NEXBOARD’s nanotechnology, incorporating engineered nanoparticles, enhances strength, durability, and fire-retardant properties without toxic additives, aligning with stringent safety and LEED certification requirements. This gives the Company a first-mover advantage in the nanocomposite segment, particularly in North America, where regulatory tailwinds and sustainability goals fuel adoption. By replacing environmentally harmful materials like gypsum, which releases toxic gases in landfills, NEXBOARD addresses both safety and sustainability, capturing a significant share of the growing green construction market.

Aerospace

The aerospace industry is experiencing a transformative wave driven by new technologies, particularly advanced materials and nanotechnology, with significant market opportunities. The global aerospace materials market, valued at USD 43.23 billion in 2024, is projected to reach USD 74.29 billion by 2032, growing at a CAGR of 7% (Fortune Business Insights). Similarly, the smart nano-construction materials market, relevant to aerospace applications, was valued at USD 12.5 billion in 2023 and is expected to reach USD 17.7–18.7 billion by 2032 (CAGR 4.5–4.9%), reflecting nanotechnology’s growing role.

Advanced materials, such as carbon fiber composites and titanium alloys, are critical for reducing aircraft weight, improving fuel efficiency and lowering emissions, which account for a 2% reduction in global carbon dioxide output. Nanotechnology enhances these materials by embedding nanoparticles like carbon nanotubes or graphene, boosting strength, thermal resistance, and corrosion protection. For instance, nano-enhanced coatings extend component lifespans, while lightweight nanocomposites enable more efficient aircraft and spacecraft designs. These advancements align with the industry’s push for sustainability, driven by regulatory pressures and net-zero goals.

Beyond materials, additive manufacturing (3D printing) is revolutionizing production by enabling complex, lightweight components, with the aerospace 3D printing market expected to grow from USD 2.1 billion in 2024 to USD 6.7 billion by 2030 (CAGR 21.5%). Artificial intelligence optimizes flight operations and predictive maintenance, while sustainable propulsion systems, like electric and hydrogen-based engines, leverage advanced materials for efficiency. North America dominates due to robust R&D, with companies like Boeing integrating nanotechnology into next-generation aircraft.

The aerospace industry’s demand for high-performance, eco-friendly solutions positions advanced materials and nanotechnology as key growth drivers, with significant opportunities in commercial aviation, defense, and space exploration through 2030 and beyond.

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