Company: FTCI
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0000950170-25-047224
Chunk: 236

Company: FTC Solar, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1B
Chunk 236
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 jurisdictions. The tax returns for years 2018 and beyond remain open for examination. As of December 31, 2024, we are not currently under audit by any taxing authority.We account for uncertainty in taxes in accordance with authoritative guidance. Changes in our accruals for unrecognized tax benefits were as follows:

        Year ended December 31,

        (in thousands)
         
        2024

        2023

        Balance at beginning of period
         
        $
        1,039

        $
        1,421

        Increase for tax positions related to the current period

        —

        —

        Increase for tax provisions related to prior periods

        —

        —

        Decrease for tax positions related to prior periods

        —

        (382
        )

        Balance at end of period
         
        $
        1,039

        $
        1,039

      The unrecognized tax benefits would not impact the effective tax rate if recognized due to the valuation allowance. We do not anticipate a significant increase or decrease over the next twelve months in the unrecognized tax benefits reported above. As of December 31, 2024, and 2023, we have not accrued any interest or penalties related to unrecognized tax benefits.

Note 14. Debt

        (in thousands)
         
        December 31, 2024

        December 31, 2023

        Senior notes
         
        $
        15,146

        $
        —

        Less: discount and deferred loan costs

        (5,680
        )

        —

        Long-term debt, net
         
        $
        9,466

        $
        —

      On December 4, 2024, we entered into a Securities Purchase Agreement (the “Purchase Agreement”) with an institutional investor as the purchaser under the Purchase Agreement (the “Investor”). Pursuant to the Purchase Agreement, we sold, and the Investor purchased $15.0 million in principal amount of senior secured promissory notes (the “Senior Notes”) and warrants (the “Warrants”) (the “Offering”).The Senior Notes bear interest to be paid in cash at the rate of 11% per annum; provided however, that the Company may, at its option, following notice to the Investor, instead increase the outstanding principal amount of the Senior Notes by the amount of such interest at the rate of 13% per annum ("paid-in-kind interest"). Interest is payable semi-annually on the