I would use one of these:
http://www.offshoreelectrics.com/pro...rod=octsb-x632

And replace the drive shaft with a flex cable.

You will have much less friction in the driveline for more runtime, longer motor life, and a tad more speed.

Running this on 2s wouldn't be a bad idea.

If you are going to replace the hardware, get some real stuff, not another steerable outdrive.