Mentioned:
One of the most exciting publicly traded drone companies has a new infusion of cash.
What’s happening:
- Red Cat Holdings (NASDAQ: RCAT) has announced that 750,000 warrants have been exercised for total proceeds of $4.87M USD in new capital
Why it matters:
- Red Cat Holdings has begun to emerge as one of the most important publicly traded drone companies in North America, fuelled largely by a highly notable deal with defense tech giant Palantir (NASDAQ: PLTR)
Going deeper:
- The new capital will go towards ramping up production at Red Cat’s drone manufacturing facility in Long Beach, California
- Drone technology has been coming into a new level of importance globally, which has led to new collaborations between Anduril and OpenAI focused on developing new artificial intelligence models and even leveraging drones for detecting explosives in Ukraine
The intrigue:
- The United States Army has also been leveraging Red Cat’s drones that are purpose built for combat as part of a large multi year deal focused on domestic defense tech
