Sarcos Technology and Robotics Corporation has reached a definitive merger agreement to acquire RE2, a developer of autonomous and teleoperated mobile robotic systems for use in the aviation, construction, defence, energy and medical industries.
This transaction brings together two commercial robotics teams focused on industrial robotic technologies that improve worker safety and productivity.
Following the transaction, the shared product suite will enable the combined company to target a broader spectrum of customer needs across the commercial and defence sectors. The initial product line will include the Guardian XO full-body, battery-powered industrial exoskeleton, the Guardian XT teleoperated dexterous mobile robotic avatar system, and the Sapien line of arms which features several models with capabilities ranging from precision arms for surgical applications, rugged outdoor arms for construction tasks, and the Sapien Sea Class system that can operate in shallow and deep water to perform inspection and maintenance tasks across multiple industries.
RE2 has significant surgical robotics, aviation maintenance, and construction automation program wins. It has also sold more than 650 robotic arm products capable of operating in unstructured environments in the market since 2010. RE2’s proven track record serving government and commercial customers make it an ideal addition to the Sarcos team.
RE2 generated revenues of approximately $15 million in 2021, and Sarcos does not expect the acquisition to affect its cash burn rate negatively. Sarcos intends to benefit from revenue associated with RE2’s existing contracts, which includes contracts with the government to develop innovative robotic systems for underwater and industrial solutions and a developmental partnership with a leading manufacturer and provider of mobile elevating work platforms access equipment.
In addition, the combined company expects to advance robotic autonomy in unstructured environments by leveraging RE2’s Detect outdoor computer vision solution and Intellect autonomy software along with the Sarcos Cybernetic Training for Autonomous Robots (CYTAR) AI and machine learning program.
Summary of Transaction Benefits
- Expected to increase the total addressable market, including additional target markets in aviation, construction, medical and subsea
- Sapien products are expected to provide earlier revenue and commercial release for the combined company
- Provides a significantly broader product set with a wide range of use cases and price points for different customers
- Nearly doubles Sarcos’ engineering team
- Adds a second location to assist in attracting talented new hires
