Company: FTCI
Filing Date: 2025-07-25
Form Type: DEF 14A
Source: 0001193125-25-164759
Chunk: 11

Company: FTC Solar, Inc.
Filing Date: 2025-07-25
Form: DEF 14A
Chunk 11
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arrants were issued.

Accordingly, to satisfy the requirements of Nasdaq Listing Rule 5635(d), we need stockholder approval under the Nasdaq Listing Rules to permit
the issuance of shares of 20% or more of our outstanding Common Stock upon the exercise of the Warrants.

Our board of directors is not
seeking the approval of our stockholders to authorize our entry into or consummation of the transactions described above or the issuance of the Warrants, as these transactions, including the issuance of the Warrants, have already been completed. We
are only asking for approval to issue up to an aggregate of 6,836,237 shares upon the exercise of the Warrants.

Rationale and Effect of Failure to Obtain Stockholder Approval

The value of the Warrants received by the lenders under the Credit Agreement was a material inducement to
the lenders providing the related financing, and the lenders’ valuation and underwriting of their investment in the Company includes the value they receive as a result of the related warrant coverage. Pursuant to the Credit Agreement, the
lenders provided initial term loans in the aggregate principal amount of $14,347,208 on July 2, 2025. These term loans were provided in proportion to the total number of shares of Common Stock for which the associated Warrants may be exercised,
and the Warrants are currently exercisable for a total of 2,615,491 shares of Common Stock in the absence of the requested approval of the Warrant Exercise Proposal. Further funding under the Credit Agreement depends, in part, on the lenders
receiving similar Warrant coverage on any further financing they may provide under the Credit Agreement. As a result, stockholder approval of the Warrant

5

Exercise Proposal pursuant to Nasdaq Listing Rule 5635(d) is important to the Company to enable further funding under the Credit Agreement, including an additional $23,152,792 aggregate principal
amount of additional term loans that will be available to be funded under the Credit Agreement if this Proposal No. 1 is approved.

The Company carefully considered its financing alternatives and the expense of conducting one or more special stockholder meetings to approve
the exercise of the Warrants in excess of the Exercise Caps pursuant to Nasdaq Listing Rule 5635(d). Based on this assessment, the Company concluded that the Credit Agreement, including the related Warrant coverage, were the best available financing
alternative. If the Warrant Exercise Proposal is not approved, we will be required to seek alternative sources of