Get the Latest Investment Ideas Delivered Straight to Your Inbox.

News Update

Drone Data Firm to Acquire Leader of High-Performance FPV Drone Technology
News Update

Source:

The merger is expected to foster growth of both entities.

Red Cat Holdings Inc. (RCAT:OTCMKTS) announced in a news release it agreed to acquire Rotor Riot in a stock and cash deal. The transaction is expected to close in mid-January.

Rotor Riot provides first person view (FPV), freestyle drone content and hardware to drone hobbyists and sportspeople. Between 2018 and 2019, the company's revenue increased about 44% to $2.6 million. Following the transaction, the company's CEO, Chad Kapper, will stay on in this role.

For Red Cat, the deal is "another significant milestone in our strategy to fuel rapid growth," CEO Jeff Thompson said in the release. Red Cat provides secure blockchain-based, distributed storage, analytics and software-as-a-service (SaaS) to the drone industry.

"Combining our companies will further align our SaaS platform and data capabilities with cutting edge hardware available today and provide a solid foundation for us to develop and engineer new and exciting technologies," Thompson added.

Also with the transaction, the company stated that Red Cat can develop strong customer support for Rotor Riot, using its data analytics platform. In turn, Rotor Riot can boost its efforts to take FPV drone sports to the mainstream and grow.

[NLINSERT]

Disclosure:
1) Doresa Banning compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. She or members of her household own securities of the following companies mentioned in the article: None. She or members of her household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees. As of the date of this article, an affiliate of Streetwise Reports has a consulting relationship with Red Cat. Please click here for more information.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article until three business days after the publication of the interview or article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases. As of the date of this interview, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Red Cat Holdings, a company mentioned in this article.

Learn More about Which Online Broker is Right for You?

Want to read more about Cryptocurrency / Blockchain and Technology investment ideas?
Get Our Streetwise Reports Newsletter Free and be the first to know!

A valid email address is required to subscribe