MBody AI, Check-Cap Seek Merger Approval for Embodied AI Company

Check-Cap Ltd. has entered into a definitive merger agreement with MBody AI to create a combined company focused on embodied AI technology for autonomous workforce applications, including hospitality and healthcare. Upon completion, MBody AI shareholders will own 90% of the new entity, renamed MBody AI Ltd., while Check-Cap shareholders will hold 10%. This strategic move aims to leverage technology sharing, operational efficiencies, and Check-Cap’s Ghost Kitchen franchise rights, positioning the combined company for growth in a market projected to reach $40 trillion by 2050. Despite Check-Cap’s current financial challenges, including negative equity and lack of revenue, the merger is viewed as a potential lifeline that would allow it to enter a high-growth industry while maintaining its legacy medical research and development activities. The merger is subject to shareholder approval, with Check-Cap’s vote scheduled for October 17, and is expected to complete by the fourth quarter of 2025. Analysts remain cautious due to Check-Cap’s weak financials, recommending risk-managed trading strategies around the stock’s recent volatile price movements.