Red Cat (RCAT) Loses 10.9% After $150-Million Share Sale

We recently published 10 Stocks Losing Big Amid Market Boom. Red Cat Holdings Inc. (NASDAQ:RCAT) is one of the worst performers on Thursday.

Red Cat fell by 10.91 percent on Thursday to end at $10.04 apiece as investor sentiment was dampened by plans to raise $150 million from a share sale program.

In a statement, Red Cat Holdings Inc. (NASDAQ:RCAT) said it plans to offer more than 15.6 million new common shares at a price of $9.6 apiece to raise funds for general corporate and working capital purposes.

Red Cat (RCAT) Loses 10.9% After $150-Million Share Sale

Pixabay / Public Domain

In line with the offer, it granted its underwriters the option to purchase over 2.3 million additional shares at the public offering price, within 30 days from the share sale.

Red Cat Holdings Inc. (NASDAQ:RCAT) expects to close the sale on Friday, September 19.

Red Cat Holdings Inc. (NASDAQ:RCAT) is a US-based provider of advanced all-domain drone and robotic solutions for defense and national security. Through its wholly owned subsidiaries, Teal Drones and FlightWave Aerospace, the company develops American-made hardware and software that support military, government, and public safety operations across air, land, and sea.

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Disclosure: None. This article is originally published at Insider Monkey.