US drone firm Red Cat seeks control of Austria's Steyr Motors in $230 million deal

Oct 19 (Reuters) - Austrian engine and engine parts manufacturer Steyr Motors said on Monday that US drone maker Red Cat Holdings plans to acquire the company in a deal valued at about €204.8 million ($230 million).

• Red Cat intends to launch a voluntary takeover offer for all Steyr shares at €39 per share in cash, a 28.9% premium to the stock's last closing price.

• Shares in Steyr jumped 20%, on track for the best day since March 2025.

• B&C Holding Österreich, which owns about 15% of Steyr Motors, has agreed to tender its stake, Steyr said.

• The transaction is subject to conditions, including foreign direct investment approvals and a minimum acceptance threshold of 50% plus one share, with Red Cat expecting to complete the acquisition in the first half of 2027.

• Steyr CEO Julian Cassutti said he intends to tender his own shares as well.

• Steyr Supervisory Board Chairman Rolf Wirtz said the board sees strategic potential in the proposed combination

($1 = €0.8910)

(Reporting by Amir Orusov, editing by Ludwig Burger and Thomas Seythal)