SALT LAKE City & PITTSBURGH, Pa., April 25, 2022–(Company WIRE)–Sarcos Technologies and Robotics Corporation (“Sarcos”) (NASDAQ: STRC and STRCW) these days declared the successful closing of the beforehand introduced acquisition of Pittsburgh-based mostly robotics firm RE2, Inc., a developer of autonomous and teleoperated mobile robotic methods for use in the aviation, construction, defense, power, and health care industries. The closing of this transaction delivers together two leading business robotics teams centered on creating industrial robotic systems that enhance worker safety and efficiency.
Total thought for the transaction was $100 million, consisting of $30 million in cash and 14 million shares of Sarcos frequent stock that were being both recently issued or underlie assumed options. The stock ingredient signifies dilution to Sarcos stockholders of around 5.7% based on a totally-diluted share rely of approximately 231 million shares (which assumes the exercise of all superb warrants and contains all shares offered for issuance underneath our equity programs).
“We are delighted to officially welcome the full RE2 workforce to the Sarcos family,” mentioned Kiva Allgood, President and CEO, Sarcos. “I have experienced the possibility to do the job intently with the RE2 staff, and our abilities and goals are perfectly matched. Our combined solution lineup and knowledge will let us to handle client requirements in a much broader range of industries and use-situations. I am really optimistic about our upcoming as a merged corporation.”
Sarcos expects to profit from long term profits related with RE2’s present contracts, together with contracts with the U.S. federal government to establish modern robotic devices for underwater and industrial answers, as properly as a developmental partnership with JLG Industries, Inc., an Oshkosh Company business (NYSE: OSK) and main company of mobile elevating operate platforms and access devices.
“The efficiency imperative, alongside with the COVID-19 pandemic, has accelerated the want for, and adoption of, robotic systems over and above the factory floor,” stated Frank Nerenhausen, Oshkosh Company Government Vice President and President, JLG Industries. “In point, a substantial focal place in design and industrial purposes today is remote procedure of machines that retains employees out of harm’s way. The mixture of Sarcos and RE2 brings with each other two top robotics organizations functioning to accelerate the implementation of robotics and transfer the obtain industry forward. We search forward to making on the superb development we have previously designed in partnership with RE2.”
Pursuing the closure of the transaction, the Sarcos merchandise line now incorporates the Guardian® XO® complete-system, battery-powered industrial exoskeleton, Guardian® XT™ teleoperated dexterous cellular robotic avatar system, and the SapienTM line of arms – such as products with capabilities ranging from precision arms for surgical applications to rugged out of doors arms for construction duties and the Sapien Sea Course procedure that can work in shallow and deep water.
Summary of Transaction Rewards:
Anticipated to include extra goal markets in aviation, design, health-related, and subsea to Sarcos’ complete addressable market
Sapien products and solutions are anticipated to bring earlier earnings and industrial item availability for the combined business
Gives a substantially broader solution established with a vast range of use circumstances and selling price details for consumers
Almost doubles Sarcos’ engineering team
Provides a next Sarcos spot in Pittsburgh, PA, to guide in attracting gifted new hires
RE2’s Detect™ outside personal computer vision option and Intellect™ autonomy software package skills will be added to Sarcos’ Cybernetic Instruction for Autonomous Robots (CYTAR™) synthetic intelligence (AI) and device discovering plan
For a lot more facts on Sarcos and its award-profitable item portfolio, make sure you visit www.sarcos.com.
About the Transaction
Wilson Sonsini Goodrich & Rosati, Professional Corporation acted as lawful counsel and PJT Partners acted as money advisor to Sarcos. Blank Rome LLP and Cherin Legislation Offices, P.C. acted as legal counsel and Stifel, Nicolaus & Company acted as economical advisor to RE2, Inc.
About Sarcos Technology and Robotics Company
Sarcos Engineering and Robotics Corporation (NASDAQ: STRC and STRCW) is a leader in industrial robotic devices that increase human general performance by combining human intelligence, instinct, and judgment with the strength, stamina, and precision of machines to increase staff safety and productivity, allow remote functions and cut down operational expenditures. Sarcos’ cellular robotic techniques, which include the Guardian® S, Guardian® GT, Guardian® XO®, and Guardian® XT™, alongside with the SapienTM family members of robotic arms from RE2, RE2 Detect™ laptop eyesight application, and RE2 Intellect™ autonomy software, are made to revolutionize the future of get the job done where ever physically demanding do the job is completed. Sarcos is headquartered in Salt Lake City, Utah, and now has a second area in Pittsburgh, PA. For a lot more information and facts, remember to check out www.sarcos.com.
Ahead-Searching Statements RE2 Economic Details
This push release includes forward-wanting statements in the indicating of the Non-public Securities Litigation Reform Act of 1995, including statements about Sarcos’ ability to efficiently integrate RE2 into its operations the solutions and marketplaces of just about every company the anticipated positive aspects of the acquisition of RE2 and Sarcos’ potential to know individuals added benefits Sarcos’ overall performance adhering to the acquisition of RE2 Sarcos’ programs to increase its product or service availability Sarcos’ potential to promote its merchandise or get robotic-as-a-provider subscriptions competitors from present or long run enterprises and systems and the envisioned size of and probable for the acquisition to grow Sarcos’ addressable industry. Ahead-on the lookout statements are inherently topic to dangers, uncertainties, and assumptions. Generally, statements that are not historic details, which include statements relating to possible or assumed upcoming actions, small business strategies, occasions, or success of operations, are forward-hunting statements. These statements may perhaps be preceded by, adopted by, or consist of the text “believes,” “estimates,” “expects,” “jobs,” “forecasts,” “may,” “will,” “should,” “seeks,” “designs,” “scheduled,” “anticipates,” “intends” or “continue” or comparable expressions. These forward-seeking statements entail threats and uncertainties that may perhaps result in genuine gatherings, effects, or functionality to differ materially from those indicated by such statements. These ahead-looking statements are centered on Sarcos’ and RE2’s management’s present-day anticipations and beliefs, as nicely as a selection of assumptions relating to future gatherings. On the other hand, there can be no assurance that the functions, success or tendencies determined in these forward-wanting statements will occur or be obtained. Forward-wanting statements communicate only as of the day they are created, and Sarcos is not under any obligation and expressly disclaims any obligation, to update, alter or in any other case revise any forward-on the lookout assertion, regardless of whether as a final result of new details, long term activities or normally, apart from as needed by law.
Viewers should really diligently review the statements set forth in the experiences which Sarcos has filed or will file from time to time with the Securities and Trade Commission (the “SEC”). In addition to variables earlier disclosed in Sarcos’ stories filed with the SEC and those people discovered in this push launch, the next things, among the other people, could lead to genuine success to vary materially from forward-hunting statements or historic effectiveness: the risk of litigation or regulatory actions the skill of Sarcos to successfully combine RE2’s functions, products and systems the hazard that the expected rewards of the transaction may perhaps not be recognized or might acquire more time than predicted to be realized, which include as a end result of the effects of, or difficulties arising from, the integration of the two companies or as a final result of the economy and aggressive components in the places exactly where Sarcos and RE2 do organization the effects of the COVID-19 pandemic on Sarcos’ and RE2’s company Sarcos’ and RE2’s capacity to retain vital staff the dilution brought on by Sarcos’ issuance of further shares of its frequent inventory in relationship with the transaction Sarcos’ capacity to execute on its business tactic, deal with staffing shortages and provide chain disruptions, launch its products and solutions inside expected timelines, establish new goods and solutions and enhance existing products and solutions potential to answer speedily to emerging engineering developments means to contend correctly, recruit and retain qualified staff and handle progress and expenditures standard competitive, financial, political and market place conditions and other pitfalls and uncertainties established forth in the segment entitled “Threat Elements” and “Cautionary Note Relating to Ahead-Wanting Statements” in documents submitted by Sarcos from time to time with the SEC. The paperwork submitted by Sarcos with the SEC may perhaps be obtained free of charge of cost at the SEC’s web-site at www.sec.gov.
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