Business UpdateOct 6, 2026, 04:01 PM
Cavitation Technologies Sells Oil Patents for $880K, Shifts Focus
AI Summary
Cavitation Technologies, Inc. (CVAT) has divested its vegetable oil refining patents to Desmet for $880,000, while retaining licenses for other applications like water treatment and alcoholic beverage enhancement. This strategic shift means Desmet will likely handle Nano Reactor manufacturing, reducing future sales for CVAT. The company is now focusing on new ventures including water treatment in the Permian Basin and agriculture, a business venture with Alchemy Beverages, Inc., and developing new technologies like Hydro-Plasma and crypto-focused Xyra Corp. The company reported minimal revenue and a net loss for fiscal year 2026, with new revenue streams anticipated in fiscal year 2027.
Key Highlights
- Cavitation Technologies assigned vegetable oil refining patents to Desmet for $880,000 cash.
- Retained exclusive license for water treatment, alcohol enhancement, and related Nano Reactor® use.
- Company expects Desmet to manufacture Nano reactors, reducing future sales from Cavitation Technologies.
- New focus areas include water treatment in Permian Basin, agriculture, Alchemy Beverages venture, Hydro-Plasma, and Xyra Corp (crypto tech).
- Enviro WaterTek LLC (50% owned) had no transactions in fiscal 2026/2025; recorded $1.1M impairment in June 2023.
- Alchemy Beverages Inc. venture has generated no sales or royalties as of June 30, 2026; earliest sales anticipated in H1 2027.
- Hydro-Plasma technology is patent pending; testing underway, sales anticipated in H1 fiscal 2027.
- Xyra Corp, a wholly owned subsidiary, focuses on crypto technologies with AI-driven, quantum-secure remittance network.
Price Impact