{"success":true,"data":{"pressRelease":{"id":"32727","rtpr_id":"nGNX2CkmZH","ticker":"RCAT","exchange":"NASDAQ","all_tickers":["RCAT"],"title":"Red Cat Announces Pricing of Public Offering of Common Stock","author":"Globe Newswire","published_at":"2026-05-13T03:17:49.101Z","article_body":"SALT LAKE CITY, May 12, 2026 (GLOBE NEWSWIRE) -- Red Cat Holdings, Inc.\n(Nasdaq: RCAT) (“Red Cat” or “Company”), a U.S.-based provider of\nadvanced all-domain drone and robotic solutions for defense and national\nsecurity, announced today the pricing of an underwritten public offering at a\nprice to the public of $9.40 per share. Red Cat is selling 23,936,171 shares\nof its common stock. The gross proceeds from the offering to the Company are\nexpected to be approximately $225.0 million, before deducting underwriting\ndiscounts and commissions and other offering expenses. The offering is\nexpected to close on or about May 14, 2026, subject to customary closing\nconditions. In addition, Red Cat has granted the underwriters a 30-day option\nto purchase up to an additional 3,590,425 shares of its common stock at the\npublic offering price, less underwriting discounts and commissions.\n\nThe Company intends to use net proceeds from the offering for general\ncorporate purposes and continued acceleration of strategic growth initiatives,\nincluding, but not limited to, acquisitions or business expansion, research\nand development, capital expenditures and working capital.\n\nEvercore ISI and BofA Securities are acting as the joint lead bookrunners for\nthe offering. Needham & Company and Northland Capital Markets are acting as\nco-managers for the offering.\n\nThe shares of common stock are being offered by Red Cat pursuant to an\nautomatically effective shelf registration statement that was filed with the\nSecurities and Exchange Commission (the “SEC”) on May 12, 2026. The\noffering is being made only by means of a prospectus and prospectus supplement\nthat form a part of the registration statement. A preliminary prospectus\nsupplement relating to and describing the terms of the offering was filed with\nthe SEC and is available on the SEC’s website at www.sec.gov. Copies of the\nfinal prospectus supplement and the accompanying prospectus can be obtained,\nwhen available, from Evercore Group L.L.C., 55 East 52nd Street, New York, New\nYork 10055, by telephone at (888) 474-0200, or by email at\necm.prospectus@evercore.com or BofA Securities, Attention: Prospectus\nDepartment, NC1-022-02-25, 201 North Tryon Street, Charlotte, North Carolina\n28255-0001, or by e-mail at dg.prospectus_requests@bofa.com. The final terms\nof the offering will be disclosed in a final prospectus supplement to be filed\nwith the SEC.\n\nThis press release does not constitute an offer to sell, or the solicitation\nof an offer to buy, these securities, nor will there be any sale of these\nsecurities in any state or other jurisdiction in which such offer,\nsolicitation or sale is not permitted.\n\nAbout Red Cat Holdings, Inc.\n\nRed Cat (Nasdaq: RCAT) is a U.S.-based provider of advanced all-domain drone\nand robotic solutions for defense and national security. Through its wholly\nowned subsidiaries, Teal Drones and FlightWave Aerospace, Red Cat develops\nAmerican-made hardware and software that support military, government, and\npublic safety operations across air, land, and sea. Its Family of Systems, led\nby Black Widow™, delivers unmatched tactical capabilities in small, unmanned\naircraft systems (sUAS). Expanding into the maritime domain through Blue Ops,\nInc., Red Cat is also innovating in uncrewed surface vessels (USVs),\ndelivering integrated platforms designed to enhance safety and multi-domain\nmission effectiveness.\n\nSafe Harbor Forward-Looking Statements\n\nThis press release contains \"forward-looking statements\" that are subject to\nsubstantial risks and uncertainties. All statements, other than statements of\nhistorical fact, contained in this press release are forward-looking\nstatements. Forward-looking statements contained in this press release may be\nidentified by the use of words such as \"anticipate,\" \"believe,\" \"contemplate,\"\n\"could,\" \"estimate,\" \"expect,\" \"intend,\" \"seek,\" \"may,\" \"might,\" \"plan,\"\n\"potential,\" \"predict,\" \"project,\" \"target,\" \"aim,\" \"should,\" \"will,\" \"would,\"\nor the negative of these words or other similar expressions, although not all\nforward-looking statements contain these words. Such statements include, but\nare not limited to, statements relating to the exercise by the underwriters of\nan option to purchase additional shares and Red Cat’s intended use of\nproceeds from the offering. Forward-looking statements are based on Red Cat\nHoldings, Inc.'s current expectations and are subject to inherent\nuncertainties, risks and assumptions that are difficult to predict. Further,\ncertain forward-looking statements are based on assumptions as to future\nevents that may not prove to be accurate. These and other risks and\nuncertainties are described more fully in the section titled \"Risk Factors\" in\nthe Form 10-K filed with the SEC on March 19, 2026 and the Form 10-Q filed\nwith the SEC on May 7, 2026, Red Cat’s preliminary prospectus supplement\nfiled with the SEC and the other filings that Red Cat makes with the SEC.\nForward-looking statements contained in this announcement are made as of this\ndate, and Red Cat undertakes no duty to update such information except as\nrequired under applicable law.\n\nContact:\n\nINVESTORS:\nAnkit Hira\nSolebury Strategic Communications for Red Cat Holdings, Inc.\nE-mail: RCAT@soleburystrat.com\n\nNEWS MEDIA:\nPeter Moran\nPhone: (347) 880-2895\nEmail: peter@indicatemedia.com\n\n(https://www.globenewswire.com/NewsRoom/AttachmentNg/ed315aba-089a-4cd6-893d-35620bd2b298)\n\n\n\nGlobeNewswire, Inc. 2026","article_body_html":"","raw_payload":{"data":{"id":"nGNX2CkmZH","title":"Red Cat Announces Pricing of Public Offering of Common Stock","author":"Globe Newswire","ticker":"RCAT","created":"2026-05-13T03:17:49.101Z","tickers":["RCAT"],"exchange":"NASDAQ","article_body":"SALT LAKE CITY, May 12, 2026 (GLOBE NEWSWIRE) -- Red Cat Holdings, Inc.\n(Nasdaq: RCAT) (“Red Cat” or “Company”), a U.S.-based provider of\nadvanced all-domain drone and robotic solutions for defense and national\nsecurity, announced today the pricing of an underwritten public offering at a\nprice to the public of $9.40 per share. Red Cat is selling 23,936,171 shares\nof its common stock. The gross proceeds from the offering to the Company are\nexpected to be approximately $225.0 million, before deducting underwriting\ndiscounts and commissions and other offering expenses. The offering is\nexpected to close on or about May 14, 2026, subject to customary closing\nconditions. In addition, Red Cat has granted the underwriters a 30-day option\nto purchase up to an additional 3,590,425 shares of its common stock at the\npublic offering price, less underwriting discounts and commissions.\n\nThe Company intends to use net proceeds from the offering for general\ncorporate purposes and continued acceleration of strategic growth initiatives,\nincluding, but not limited to, acquisitions or business expansion, research\nand development, capital expenditures and working capital.\n\nEvercore ISI and BofA Securities are acting as the joint lead bookrunners for\nthe offering. Needham & Company and Northland Capital Markets are acting as\nco-managers for the offering.\n\nThe shares of common stock are being offered by Red Cat pursuant to an\nautomatically effective shelf registration statement that was filed with the\nSecurities and Exchange Commission (the “SEC”) on May 12, 2026. The\noffering is being made only by means of a prospectus and prospectus supplement\nthat form a part of the registration statement. A preliminary prospectus\nsupplement relating to and describing the terms of the offering was filed with\nthe SEC and is available on the SEC’s website at www.sec.gov. Copies of the\nfinal prospectus supplement and the accompanying prospectus can be obtained,\nwhen available, from Evercore Group L.L.C., 55 East 52nd Street, New York, New\nYork 10055, by telephone at (888) 474-0200, or by email at\necm.prospectus@evercore.com or BofA Securities, Attention: Prospectus\nDepartment, NC1-022-02-25, 201 North Tryon Street, Charlotte, North Carolina\n28255-0001, or by e-mail at dg.prospectus_requests@bofa.com. The final terms\nof the offering will be disclosed in a final prospectus supplement to be filed\nwith the SEC.\n\nThis press release does not constitute an offer to sell, or the solicitation\nof an offer to buy, these securities, nor will there be any sale of these\nsecurities in any state or other jurisdiction in which such offer,\nsolicitation or sale is not permitted.\n\nAbout Red Cat Holdings, Inc.\n\nRed Cat (Nasdaq: RCAT) is a U.S.-based provider of advanced all-domain drone\nand robotic solutions for defense and national security. Through its wholly\nowned subsidiaries, Teal Drones and FlightWave Aerospace, Red Cat develops\nAmerican-made hardware and software that support military, government, and\npublic safety operations across air, land, and sea. Its Family of Systems, led\nby Black Widow™, delivers unmatched tactical capabilities in small, unmanned\naircraft systems (sUAS). Expanding into the maritime domain through Blue Ops,\nInc., Red Cat is also innovating in uncrewed surface vessels (USVs),\ndelivering integrated platforms designed to enhance safety and multi-domain\nmission effectiveness.\n\nSafe Harbor Forward-Looking Statements\n\nThis press release contains \"forward-looking statements\" that are subject to\nsubstantial risks and uncertainties. All statements, other than statements of\nhistorical fact, contained in this press release are forward-looking\nstatements. Forward-looking statements contained in this press release may be\nidentified by the use of words such as \"anticipate,\" \"believe,\" \"contemplate,\"\n\"could,\" \"estimate,\" \"expect,\" \"intend,\" \"seek,\" \"may,\" \"might,\" \"plan,\"\n\"potential,\" \"predict,\" \"project,\" \"target,\" \"aim,\" \"should,\" \"will,\" \"would,\"\nor the negative of these words or other similar expressions, although not all\nforward-looking statements contain these words. Such statements include, but\nare not limited to, statements relating to the exercise by the underwriters of\nan option to purchase additional shares and Red Cat’s intended use of\nproceeds from the offering. Forward-looking statements are based on Red Cat\nHoldings, Inc.'s current expectations and are subject to inherent\nuncertainties, risks and assumptions that are difficult to predict. Further,\ncertain forward-looking statements are based on assumptions as to future\nevents that may not prove to be accurate. These and other risks and\nuncertainties are described more fully in the section titled \"Risk Factors\" in\nthe Form 10-K filed with the SEC on March 19, 2026 and the Form 10-Q filed\nwith the SEC on May 7, 2026, Red Cat’s preliminary prospectus supplement\nfiled with the SEC and the other filings that Red Cat makes with the SEC.\nForward-looking statements contained in this announcement are made as of this\ndate, and Red Cat undertakes no duty to update such information except as\nrequired under applicable law.\n\nContact:\n\nINVESTORS:\nAnkit Hira\nSolebury Strategic Communications for Red Cat Holdings, Inc.\nE-mail: RCAT@soleburystrat.com\n\nNEWS MEDIA:\nPeter Moran\nPhone: (347) 880-2895\nEmail: peter@indicatemedia.com\n\n(https://www.globenewswire.com/NewsRoom/AttachmentNg/ed315aba-089a-4cd6-893d-35620bd2b298)\n\n\n\nGlobeNewswire, Inc. 2026"},"type":"article","timestamp":"2026-05-13T03:17:49.160825674Z","server_sent_at_ms":1778642269160},"received_at":"2026-05-13T03:17:49.216Z","source_url":null},"analysis":{"id":"23509","press_release_id":"32727","analysis_json":{"industry":{"label":"Aerospace & Defense","sector":"Industrials"},"redFlags":["offering priced 10% below prior close","use of proceeds is 'general corporate purposes' / working capital"],"eventType":"offering","narrative":"Red Cat Holdings priced a public offering of 23,936,171 shares at $9.40 per share, a 10% discount to the prior close.\n\nThe gross proceeds from the offering are expected to be approximately $225.0 million, before deducting underwriting discounts and commissions.\n\nThe company intends to use the net proceeds for general corporate purposes, strategic growth initiatives, acquisitions, research and development, capital expenditures, and working capital.\n\nEvercore ISI and BofA Securities are acting as joint lead bookrunners, with Needham & Company and Northland Capital Markets as co-managers.","sentiment":"bearish","agentHooks":{"shouldPost":true,"suggestedAngle":"Dilutive raise at a 10% discount -- watch for downward pressure into close."},"keyFigures":{"dealValueUsd":225000000,"offeringPrice":9.4,"sharesOffered":23936171},"quotedText":"","namedEntities":{"people":[],"products":["Black Widow™","Blue Ops, Inc."],"companies":[{"name":"Red Cat Holdings, Inc.","ticker":"RCAT","relationship":"issuer"},{"name":"Evercore ISI","relationship":"joint lead bookrunner"},{"name":"BofA Securities","relationship":"joint lead bookrunner"},{"name":"Needham & Company","relationship":"co-manager"},{"name":"Northland Capital Markets","relationship":"co-manager"}],"dollarAmounts":[{"amount":"$9.40","context":"per-share offering price"},{"amount":"$225.0 million","context":"gross proceeds from the offering"}]},"materialImpact":{"score":4,"reasoning":"Public offering priced at a 10% discount to the prior close, with proceeds earmarked for general corporate purposes and strategic growth initiatives. The underwriters have a 30-day option to purchase additional shares, which could further dilute existing shareholders."},"tickerRelevance":{"others":[],"primary":"RCAT"},"globalImportance":35,"audienceRelevance":45,"eventTypeSecondary":["dilution"],"importanceComponents":{"tickerTier":"small-cap","eventGravity":"dilutive offering","sectorWeight":"Industrials","householdBrandBoost":"none","marketCapAdjustment":"moderate","retailFavoriteBoost":"none"}},"event_type":"offering","event_type_secondary":["dilution"],"sentiment":"bearish","material_impact_score":4,"narrative":"Red Cat Holdings priced a public offering of 23,936,171 shares at $9.40 per share, a 10% discount to the prior close.\n\nThe gross proceeds from the offering are expected to be approximately $225.0 million, before deducting underwriting discounts and commissions.\n\nThe company intends to use the net proceeds for general corporate purposes, strategic growth initiatives, acquisitions, research and development, capital expenditures, and working capital.\n\nEvercore ISI and BofA Securities are acting as joint lead bookrunners, with Needham & Company and Northland Capital Markets as co-managers.","key_figures":{"dealValueUsd":225000000,"offeringPrice":9.4,"sharesOffered":23936171},"named_entities":{"people":[],"products":["Black Widow™","Blue Ops, Inc."],"companies":[{"name":"Red Cat Holdings, Inc.","ticker":"RCAT","relationship":"issuer"},{"name":"Evercore ISI","relationship":"joint lead bookrunner"},{"name":"BofA Securities","relationship":"joint lead bookrunner"},{"name":"Needham & Company","relationship":"co-manager"},{"name":"Northland Capital Markets","relationship":"co-manager"}],"dollarAmounts":[{"amount":"$9.40","context":"per-share offering price"},{"amount":"$225.0 million","context":"gross proceeds from the offering"}]},"model_name":"Qwen/Qwen2.5-72B-Instruct-AWQ","prompt_hash":"sha256:2e784e1999ac193d","schema_hash":"sha256:4b22e0a142e5d4b1","created_at":"2026-05-13T03:18:52.165Z","global_importance":35,"audience_relevance":45,"importance_components":{"tickerTier":"small-cap","eventGravity":"dilutive offering","sectorWeight":"Industrials","householdBrandBoost":"none","marketCapAdjustment":"moderate","retailFavoriteBoost":"none"}},"durationMs":62932,"modelName":"george-droid-qwen-72b"}}