Drone firm Red Cat plans to buy Austria's Steyr Motors; shares up

Red Cat Holdings

Mon 09:45

** Drone maker Red Cat Holdings' RCAT.O shares rise 4.9% to $5 premarket
** Company announces plan to acquire Austrian engine maker Steyr Motors 4X0.VI in a deal valued at about €204.8 million ($229.58 million)
** The US drone maker intends to launch a voluntary takeover offer for all Steyr shares at €39/share in cash, a 28.9% premium to the stock's last close
** Deal subject to conditions, including regulatory approvals and a minimum acceptance threshold of 50% plus one share
** RCAT expects deal to complete in H1 2027
** As of last close, shares down 40.5% YTD


($1 = 0.8921 euros)

 (Reporting by Anand Gopal in Bengaluru)
 ((AnandGopal.R@thomsonreuters.com))