Flyte Aviation Signs Non-Binding LOI to Sell VIVO and LockeT Cardiology Assets, Targeting Year-End 2026 Close

Flyte Aviation, Inc. (NYSE American: VJET), a technology-enabled private aviation company, has executed a non-binding Letter of Intent to sell the VIVO, LockeT and associated life sciences assets of its legacy subsidiary Catheter Precision. The parties are targeting a closing by year-end 2026.

The LOI contemplates cash consideration payable at closing, subject to customary adjustments, escrow and indemnification provisions. It also contemplates potential contingent consideration payable to the company if specified future monetization events or value thresholds are achieved within six years after closing. The company expects the sale to significantly reduce its operating expenses, strengthen its balance sheet and fund growth and expansion initiatives.

The company changed its name from Catheter Precision, Inc. to Flyte Aviation, Inc. on October 5, 2026, and its NYSE American ticker became VJET. Chief Executive Officer David Jenkins said the transaction would allow the company, for the first time, to focus exclusively on growing its aviation business.

Flyte last month reported preliminary, unaudited third-quarter 2026 revenue of approximately $2.1 million, which it described as a record and as 110% quarter-over-quarter growth. It operates a fleet of Cirrus Vision Jets through its FAA-certified Part 135 subsidiary Ponderosa Air, LLC, and sells through a direct-to-consumer booking platform. After the divestiture, it plans to focus on fleet expansion, revenue growth, aircraft utilization, strategic partnerships and technology development.

The LOI is non-binding. Completion remains subject to satisfactory due diligence, negotiation and execution of a definitive agreement, board and any required stockholder or other approvals, third-party consents and other closing conditions. There is no assurance the LOI will lead to a definitive agreement or that the transaction will close on the anticipated timeline or at all.

Light-jet charter operators built on single-type fleets and direct-to-consumer booking live or die on utilization: hours flown per aircraft decide whether fixed costs, crew and maintenance are covered. A company that carries an unrelated legacy business alongside an aviation start-up splits capital, management time and investor attention between two unrelated economics. Shedding the medical-device assets is a way of making the aviation story legible to the market, and of freeing cash for aircraft and technology rather than for a second business.

The structure of the proposed deal also shows how a transaction like this tends to be priced. Cash at closing is the certain part; contingent consideration over six years depends on events outside the seller's control and is a different kind of value from money in the bank. Funding fleet growth from a divestiture only works to the extent the closing cash, after adjustments, escrow and indemnification holds, so the headline sale does not by itself tell the market how much capital reaches the aviation side.

The next milestone is a definitive agreement: until one is signed and the stockholder, board and third-party approvals are in hand, the LOI settles nothing about price, buyer or timing. The year-end 2026 target is the date by which the cash figure and the escrow terms would become visible.