The stock rose 14.9% after the announcement, signaling a positive market response to the proposed merger. The companies pitched a broader solar-infrastructure platform with potential growth and cash-flow benefits, though those benefits remain forward-looking and the deal still requires approvals.
- Array and Shoals announced a stock-for-stock merger; Shoals shareholders would receive 1.6931 Array shares per share and own about 65% of the combined company’s basic shares.
- Brandon Moss is set to lead the combined company, with Brad Forth as chairman; Array CEO Kevin Hostetler would become a special advisor.
- The companies say combining structural and electrical balance-of-systems offerings should simplify sourcing and project execution; they also expect faster revenue growth, higher profitability and free cash flow, and greater strategic flexibility.
- The combined company plans to redeem $161.3 million of Array preferred stock within 90 days of closing and another $156.3 million over three years, reducing preferred stock outstanding by more than 60%.
- Closing is expected in the first quarter of 2027, subject to shareholder and regulatory approvals.
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