---
schema_version: "secwatch.filing_event.v1"
accession: "0001554795-23-000371"
form_type: "8-K"
ticker: "RCAT"
cik: "0000748268"
company_name: "Red Cat Holdings, Inc."
filed_at: "2023-12-15T23:59:59+00:00"
generated_at: "2026-06-07T12:20:10.417440+00:00"
event_type: "m_and_a"
sentiment: "neutral"
materiality_score: 0.6
calibrated_materiality_score: 0.6
confidence: "high"
source: SEC EDGAR
---

# Red Cat amends sale of consumer drone business; $20M consideration: $1M cash, $2M note, $17M stock

## Summary
- Consideration revised to $20M: $1M cash from IPO proceeds, $2M 8% promissory note, $17M in Unusual common stock at IPO price.
- Minimum IPO proceeds for Unusual reduced from $10M to $5M; outside closing date extended to May 31, 2024.
- $2M promissory note bears 8% interest, due 18 months from issue; convertible at 10% discount to VWAP, subject to 4.99% ownership limit.
- Dr. Allan Evans named as new CEO of Unusual; employment agreement referenced in amendment.

## SEC filing metadata
- accession: 0001554795-23-000371
- form_type: 8-K
- ticker: RCAT
- cik: 0000748268
- company_name: Red Cat Holdings, Inc.
- filed_at: 2023-12-15T23:59:59+00:00
- event_type: m_and_a
- sentiment: neutral
- materiality_score: 0.6
- calibrated_materiality_score: 0.6
- confidence: high
- sec_items: 1.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/748268/000155479523000371/0001554795-23-000371-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/748268/000155479523000371/rcat1215form8k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001554795-23-000371
- JSON: https://secwatch.observer/filing/0001554795-23-000371.json
- Plain text: https://secwatch.observer/filing/0001554795-23-000371.txt

## Key facts
- Material Agreements
  Red Cat Holdings, Inc. amended Stock Purchase Agreement with Unusual Machines, Inc. and Jeffrey Thompson valued at $20 million (effective 2023-12-11).
  - Action: amendment
  - Agreement: asset purchase
  - Counterparty: Unusual Machines, Inc. and Jeffrey Thompson
  - Value: $20 million
  - Effective: 2023-12-11
  source text: On December 11, 2023, Red Cat Holdings, Inc., a Nevada corporation (the “ Company ”), Unusual Machines, Inc., a Puerto Rico corporation (“ Unusual ”) and Jeffrey Thompson, the founder and Chief Executive Officer of the Company (the “ Principal Stockholder ”), entered into Amendment No. 4 to the Stock Purchase Agreement (the “ SPA ”) for the purchase and sale of the Company’s consumer business
  evidence_url: https://www.sec.gov/Archives/edgar/data/748268/000155479523000371/0001554795-23-000371-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.