George Michael Matus - Sep 1, 2021 Form 3 Insider Report for Red Cat Holdings, Inc. (RCAT)

Role: CEO of Teal Drones subsidiary
Signature: /s/ George Matus
Stock symbol: RCAT
Transactions as of: Sep 1, 2021
Transactions value $: $0
Form type: 3
Date filed: 10/5/2021, 03:57 PM
Next filing: Sep 6, 2022

Transactions Table

Type	Sym	Class	Transaction	Value $	Shares	Change %	* Price $	Shares After	Date	Ownership	Footnotes
holding	RCAT	Common Stock						400K	Sep 1, 2021	Direct	F1

Derivative Securities (e.g., puts, calls, warrants, options, convertible securities)

Type	Sym	Class	Transaction	Value $	Shares	Change %	* Price $	Shares After	Date	Underlying Class	Amount	Exercise Price	Ownership	Footnotes
holding	RCAT	Common Stock							Sep 1, 2021	Common Stock	600K		Direct	F2

* An asterisk sign (*) next to the price indicates that the price is likely invalid.

Explanation of Responses:

Id	Content
F1	Vesting 25% on August 31, 2021 and 25% on the 12 months anniversary of issuance, and 6.25% quarterly thereafter until fully vested, provided 50% shall vest in 12 months if the trailing 12 month's revenue is greater than $10 million and 100% shall vest in 24 months if the trailing 12 months revenue is greater than $15 million.
F2	Pursuant to Employment Agreement dated as of September 1, 2021, the Reporting Person will be issued up to 600,000 stock options if by September 1, 2023 certain revenue targets are attained with a margin equal to or greater than 25%, 150,000 at $13 million, $18 million, $25 million and $30 million of revenue, each of which will have a 90 day vesting schedule once granted.