Red Cat Prices $150 Mln Stock Offering At $9.60/shr; Shares Down In Pre-market

(RTTNews) - Red Cat Holdings, Inc. (RCAT), a drone technology company, on Thursday announced that the pricing of an underwritten public offering of 15,625,000 shares of common stock at $9.60 per share.

The offering is expected to close on or about September 19.

Gross proceeds are expected to be about $150 million, before underwriting discounts, commissions, and expenses.

The company has granted underwriters a 30-day option to purchase up to 2,343,750 additional shares at the public offering price, less underwriting discount.

Red Cat said it plans to use the net proceeds for general corporate and working capital purposes, including operating expenditures related to its new unmanned surface vessel division.

In the pre-market trading, Red Cat Holdings closed trading 10.12% lesser at $10.13 on the Nasdaq.