RedLattice to go public via Bold Eagle SPAC at $1.25bn valuation

Defence cyber intelligence company RedLattice Inc. plans to list on Nasdaq by merging with special purpose acquisition company Bold Eagle Acquisition Corp. The deal values RedLattice at $1.25bn before any new money.

RedLattice sells lawful intercept and vulnerability research tools to intelligence, military and law enforcement agencies. It has more than 100 customers across 23 countries and reported $267m in sales in the 12 months to 30 June, up 29% year on year.

If no Bold Eagle shareholders redeem, the transaction could raise about $610m. Most of the $335m already committed is $275m of convertible notes that Loomis, Sayles & Co. LP has agreed to buy, paying 4% a year and converting at $12.50 a share. A further $60m is a common stock purchase at $10 a share by affiliates of AE Industrial Partners LP and Bold Eagle sponsor Eagle Equity Partners.

Existing RedLattice shareholders are rolling all of their equity into the combined company, and AE Industrial will remain the largest shareholder. AE Industrial, which first invested in RedLattice in January 2023, acquired Israeli spyware developer Paragon Solutions in December 2024 and folded it into RedLattice. Some proceeds will refinance debt and pay the final Paragon earnout.

The deal is expected to close around the end of the year, subject to a Bold Eagle shareholder vote and the SEC declaring the registration statement effective. The combined company will trade under the ticker REDL.