Red Cat Holdings, Inc. (RCAT) is experiencing a notable rise in its stock price today following the announcement of a significant warrant exercise transaction. The company revealed that it has received notice and funds to exercise 750,000 outstanding warrants to purchase shares of common stock at an exercise price of $6.50 per share, resulting in gross proceeds of $4.875 million. This influx of capital is set to support Red Cat's ongoing operations and growth initiatives, including the acceleration of hiring for its new production facility in Long Beach. CEO Jeff Thompson highlighted that this funding extends the company's financial runway and enables the pursuit of additional non-dilutive capital opportunities.
The current price of Red Cat Holdings' stock is $13.04, reflecting a 6.40% increase from its previous close of $12.26 and a 5.71% rise from its opening price of $12.34.