Business
Red Cat Holdings Expects Drone Industry to Benefit with Passage of Infrastructure Bill
HUMACAO, Puerto Rico, Nov. 8, 2021 /PRNewswire/ -- Red Cat Holdings, Inc. (Nasdaq: RCAT) ("Red Cat'' or the "Company"), a hardware enabled software provider
About this update from Red Cat Holdings, Inc.
[{"type":"text","content":"HUMACAO, Puerto Rico, Nov. 8, 2021 /PRNewswire/ -- Red Cat Holdings, Inc. (Nasdaq: RCAT) (\"Red Cat'' or the \"Company\"), a hardware enabled software provider to the drone industry, anticipates the potential impact that the recently-passed infrastructure bill may have on the drone industry and possible benefits to the Company, which already has important government relationships through its Teal Drones and Skypersonic subsidiaries.\n\n \n \n \n \n \n \n\n \nThe Company notes that drones already play a vital role in many of the programs covered by the bill, including railways, roads and bridges, storm preparation, electrical grid strengthening and sewage maintenance. With more than $280 billion earmarked for these programs alone, the Company believes there is significant opportunity to expand its existing relationships with the Federal Government beyond the Company's existing relationship with the Department of Defense and NASA to provide essential services within infrastructure programs.\nThese services include enabling rapid inspections and progress surveillance to ensure efficiency and identifying potential issues developing on roadways or electrical grids prior to their becoming debilitating. Drones also provide the ability to maximize upkeep once improvements have been implemented.\nFurther, Congress has also been debating an additional $50 million allocation for both 2022 and 2023 as part of the \"Drone Infrastructure Inspection Grant Act,\" which would provide funding specifically for drone use, adding new opportunities for the Company in the context of the larger bill. \nIn addition, the Company strongly supports the \"Build America Buy America Act\" component of the bill, which emphasizes the need for infrastructure improvements and maintenance to be completed by American companies for the benefit of U.S. citizens. \nSpecifically, the bill states: \n\"United States taxpayer dollars invested in public infrastructure should not be used to reward companies that have moved their operations, investment dollars, and jobs to foreign countries or foreign factories, particularly those that do not share or openly flout the commitments of the United States to environmental, worker, and workplace safety protections.\" \nRed Cat was founded as an American company and each time it has expanded through acquisitions, it has done so wit...