CXApp Inc (NASDAQ:CXAI) shares surged 72.74% to $0.28 in after-hours trading on Wednesday after the company announced the acquisition of EngineRoom, an AI-powered growth intelligence platform.

CXApp is a software company that uses AI-powered workplace tools to help organizations manage employees, office spaces and workplace experiences.

EngineRoom Deal Sparks Rally

According to the company’s Wednesday announcement, the acquisition is expected to increase CXApp’s annual revenue run rate from about $4 million to more than $12 million and add approximately $1.6 million in adjusted EBITDA. The company said EngineRoom is expected to contribute about $8.1 million in annual revenue, with around 94% of that revenue recurring.

CXApp said the acquisition will add more than 50 customer relationships and create additional opportunities for its Agentic AI SKY platform. The company said the combined business will offer AI-powered solutions across industries including healthcare, financial services, education, technology and professional services.

CEO Khurram Sheikh said the acquisition represents an important step toward building a global AI platform focused on helping organizations automate workflows, improve productivity and optimize performance through intelligent agents.

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Trading Metrics, Technical Analysis

CXApp has a market capitalization of approximately $15.6 million. The stock has traded between a 52-week high of $1.15 and a 52-week low of $0.13.

Over the past 12 months, CXAI shares have declined about 85%.

Price Action: According to market data, CXAI closed Wednesday’s regular session at $0.16, up 21.58% on the day. The stock then surged another 72.74% in after-hours trading to $0.28 following the acquisition announcement.

Benzinga Edge Stock Rankings indicate CXAI is showing positive price momentum in the short term, while medium-term and long-term price trends remain negative.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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