BUZZ - Drone company Red Cat plans to acquire Austria's Steyr Motors; share price rises

October 19 - ** Drone manufacturer Red Cat Holdings (RCAT.O) shares rose 4.9% to $5 in pre-market trading

** The company announced (link) plans to acquire Austrian engine manufacturer Steyr Motors 4X0.VI for approximately 204.8 million euros ($229.58 million)

** The US drone manufacturer plans to launch a voluntary takeover offer for all shares of Steyr at a cash price of 39 euros per share, representing a 28.9% premium over the previous trading day’s closing price

** The transaction is subject to several conditions, including regulatory approval and a minimum acceptance rate of 50% plus one share

** RCAT expects the deal to be completed in the first half of 2027

** As of the previous trading day’s close, the stock was down 40.5% year to date

(1 US dollar = 0.8921 euro)

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