Steyr Motors in Red Cat’s sights: US drone group offers 39 euros per share

A US drone group is reaching for an Austrian engine manufacturer: Red Cat Holdings wants to take over Steyr Motors and is offering 39 euros per share through a subsidiary in Vienna. The acquisition is to be completed in the first half of 2027.

There had been rumours about this for some time. Now things are getting concrete: according to the engine manufacturer, SMOT Acquisition GmbH, wholly owned by Red Cat Holdings, intends to make a voluntary public offer to all shareholders to acquire all shares. The price of 39 euros per share represents a premium of 28.9 per cent over the Xetra closing price of 16 October 2026.

For the takeover to go ahead, Red Cat must obtain at least 50 per cent plus one share of the Austrian company. Approvals under competition and foreign trade law, among others, are also required.

One important building block is already in place: the Austrian B&C Holding holds around 15 per cent of Steyr Motors’ shares – and has undertaken to tender this stake as part of the offer.

Red Cat expands its unmanned systems business

For Red Cat, the planned acquisition means further expanding its unmanned systems business. The target company develops and manufactures specialised propulsion systems – above all marine engines – for military and civilian use.

The combination is intended to open up new growth opportunities: the Austrians contribute their development and manufacturing expertise, while the US group opens up international markets and customers and brings additional financial resources. Steyr Motors CEO Julian Cassutti said: “Our engineering expertise and Red Cat’s access to international markets form the basis for joint growth”. Cassutti supports the planned transaction and also intends to sell his own shares through the offer.

Rolf Wirtz, Chairman of the Supervisory Board, also sees considerable strategic potential. A final statement by the company’s boards is to follow once the complete offer documents have been reviewed.

Steyr Motors to remain in Steyr

Red Cat stresses that it wants to preserve and expand the company in Austria as a centre of excellence. Jobs as well as research, development and production are to remain at the traditional site.

The US group is also examining whether the engine manufacturer could in future serve as a base for expanding its European business. “We see Austria as central to the future of the company,” says Jeff Thompson, CEO of Red Cat. According to the company, this would open up additional resources, new customers and long-term demand for Steyr Motors.

Timetable to 2027

As things stand, the acceptance period for the takeover offer ends on 18 December 2026 at 17:00. Provided all necessary approvals are granted, Red Cat expects completion in the first half of 2027.

A listed US drone group could thus in future take control of one of Austria’s best-known producers of specialised military propulsion systems.