Shares of Brand Engagement Network, Inc. (NASDAQ:BNAI) jumped about 55% on Wednesday after the company unveiled a new artificial intelligence licensing agreement in Africa valued at just over $2 million.
The agreement, signed with Valio Technologies, creates an exclusive AI licensing structure targeting both government and commercial customers across the African continent. As part of the transaction, Brand Engagement Network (BEN) will receive a $2.05 million preferred equity investment from a newly established South Africa–based entity, which the company expects to recognize as intellectual property licensing revenue.
Under the terms of the partnership, BEN will hold a 25% common equity stake in the new entity along with one seat on its board. The agreement also includes a 35% revenue-sharing arrangement across software and services, as well as exclusive AI licensing rights for public-sector and private-sector markets throughout Africa.
Beyond the commercial rollout, BEN and Valio have also signed a memorandum of understanding with Nelson Mandela University to deploy an AI-driven mental health support platform for students. The initiative will operate in a secure environment and will be trained solely on content approved by the institution.
“This partnership reflects our strategy of pairing commercial scale with real-world, institution-approved deployments,” said Tyler Luck, CEO and co-founder of BEN. “Africa, with its rapidly growing digital economy and more than 1.4 billion people, represents a significant opportunity for governed AI adoption across public and private sectors.”
The deal represents Brand Engagement Network’s second major international AI licensing agreement, following its Skye LATAM partnership in Latin America. The company focuses on delivering secure, governed conversational AI solutions designed for use in regulated industries.