ARRAY Technologies and Shoals Technologies Group have agreed an all stock merger that will combine solar tracker manufacturing with electrical balance of system equipment. The companies announced the agreement on 4 November 2026 in a joint release filed with the United States Securities and Exchange Commission.
No transaction value was disclosed. Shoals shareholders will receive 1.6931 ARRAY shares for each Shoals share, leaving them with approximately 65 per cent of the basic shares of the combined company and ARRAY shareholders with approximately 35 per cent. ARRAY is the legal acquirer and corporate parent. Brandon Moss, currently Chief Executive of Shoals, becomes Chief Executive of the combined company, while Kevin Hostetler, the current ARRAY Chief Executive, becomes a special adviser. Brad Forth, who chairs both boards, will serve as chairman and took no part in either board deliberation or vote. The board will have ten members, four independent directors drawn from each company plus the chairman and chief executive.
A new corporate name and ticker are to be announced in the coming months and neither has been chosen. Closing is expected in the first quarter of 2027, subject to approval by shareholders of both companies, regulatory clearances and a Nasdaq listing authorisation. Proxy materials carrying further financial detail are expected before the end of this year.
The industrial logic rests on a narrow claim that is easy to test. The companies say about 20 per cent of their projects over the past two years already used products from both, which is the strongest evidence offered that the cross selling case is real rather than aspirational. They project more than 100 million dollars of annual synergies within three years of closing, of which first year cost synergies are put at about 20 million dollars and cross selling at about 15 million dollars on a run rate basis.
The balance sheet is where the deal does its quieter work. Shoals brings roughly 1.6 billion dollars of tax amortisation and 237 million dollars of operating loss carryforwards, which the companies expect to limit cash taxes for several years. ARRAY has separately committed to redeem 317.5 million dollars of its Series A preferred stock, beginning with an initial redemption at 93 per cent of liquidation preference within 90 days of closing. Taken together, a leverage ratio of 2.6 times at the end of this year is forecast to fall below two times a year later.
A transaction value of about 1.32 billion dollars has appeared in secondary coverage. It is a calculation from the exchange ratio and a share price, not a figure either company has disclosed.
