Red Cat Holdings Inc. (RCAT) stock surged 10.93% in Monday's intraday trading session, following the company's announcement of a $4.875 million warrant exercise transaction for additional funding.
The drone technology company revealed that it received notice and funds to exercise 750,000 outstanding warrants to purchase common stock at $6.50 per share. Red Cat stated that the $4.875 million gross proceeds from the transaction will be used to support ongoing operations and growth initiatives, as well as accelerate hiring for its new production facility in Long Beach.
Red Cat Holdings, through its subsidiaries Teal Drones and FlightWave Aerospace, develops robotic hardware and software for military, government, and commercial operations. Its product lineup includes the Black Widow small unmanned ISR system, the TRICHON fixed-wing VTOL drone, and the FANG line of NDAA-compliant FPV drones optimized for military use.
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