Shares of Brand Engagement Network jumped sharply on Wednesday morning. The stock surged 55 percent after the company announced a new AI licensing partnership in Africa.
The deal is worth $2.05 million. It was signed with Valio Technologies. The agreement creates an exclusive AI licensing setup for both government and commercial markets across Africa.
As part of the deal, BEN will receive a $2.05 million preferred equity investment. The money will come from a newly formed South Africa based entity. This amount will be recorded as intellectual property licensing revenue.
The partnership gives BEN a strong position in the new entity. The company will hold 25 percent common equity. It will also get one seat on the board.
BEN will earn a 35 percent share of revenue from software and services sold under the partnership. It will also hold exclusive AI licensing rights for government and private sector clients across the African continent.
The expansion includes an education focused initiative as well. BEN and Valio have signed a memorandum of understanding with Nelson Mandela University. Together, they plan to roll out an AI powered mental health support system for students.
The system will operate in a secure environment. It will be trained only on content approved by the university. This is meant to ensure safety and compliance.
BEN CEO Tyler Luck said the partnership fits the company’s long term vision. He said the focus is on scaling AI while keeping deployments responsible and institution approved.
He also highlighted Africa’s growth potential. The region has a fast growing digital economy and a population of over 1.4 billion people.
This is BEN’s second major international AI licensing deal. The first was its Skye LATAM partnership in Latin America.
Brand Engagement Network focuses on secure and governed conversational AI. Its solutions are built for regulated industries where data control and compliance are critical.
