Red Cat Holdings Announces Closing of $16 Million Public Offering and Nasdaq Listing

By Red Cat Holdings7 days ago

HUMACAO, Puerto Rico, May 4, 2021 /PRNewswire/ --Red Cat Holdings, Inc. (Nasdaq: RCAT) (Red Cat or the Company), a leading brand in the drone industry, today announced the closing of its underwritten public offering of 4,000,000 shares of its common stock at a public offering price of $4.00 per share, for gross proceeds of $16,000,000, before deducting underwriting discounts and offering expenses. In addition, the Company has granted the underwriters a 45-day option to purchase up to an additional 600,000 shares of common stock to cover over-allotments at the initial public offering price, less the underwriting discount. All of the shares of common stock are being offered by the Company.

The Company will use the proceeds to provide funding for service, sales, and marketing efforts for its Red Cat Drone Services, strategic acquisitions and related expenses, and general working capital.

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ThinkEquity, a division of Fordham Financial Management, Inc., acted as sole book-running manager for the offering.

A registration statement on Form S-1 (File No. 333-253491) relating to the shares was filed with the Securities and Exchange Commission (SEC) and became effective on April 29, 2021. A final prospectus relating to this offering was filed with the Securities and Exchange Commission on April 30, 2021. The offering was made only by means of a prospectus. Copies of the final prospectus relating to the offering may be obtained by contacting ThinkEquity, 17 State Street, 22nd Floor, New York, NY 10004, telephone (877) 436-3673, email: [email protected]. Investors may also obtain these documents at no cost by visiting the SEC's website at https://www.sec.gov.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

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