Company: PENG
Filing Date: 2025-05-02
Form Type: DEF 14A
Source: 0001193125-25-110748
Chunk: 33

Company: Penguin Solutions, Inc.
Filing Date: 2025-05-02
Form: DEF 14A
Chunk 33
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 issued thereunder and our Convertible Notes will remain
outstanding, and Penguin Solutions Cayman and Smart Modular Technologies, Inc. (“SMT”) will continue to be the co-borrowers under the Credit Agreement and Penguin Solutions Cayman will
continue to be the issuer of our Convertible Notes.

No Appraisal Rights

Under Cayman Islands law, none of the holders of the Penguin Solutions Cayman shares have any right to an appraisal of the value of their
shares or payment for them in connection with the Transaction.

Accounting Treatment of the Transaction

Under U.S. GAAP, the Transaction represents a transaction between entities under common control. Assets and liabilities transferred between
entities under common control are accounted for at cost. Accordingly, the assets and liabilities of Penguin Solutions Delaware will be reflected at their historical carrying amounts of Penguin Solutions Cayman at the Completion Date.

Stock Exchange Listing

We intend to make
application so that, immediately following the Completion Date, the Penguin Solutions Delaware common stock (for which there is currently no established public trading market) will be listed on Nasdaq under the symbol “PENG,” the same
symbol under which the Penguin Solutions Cayman ordinary shares are currently listed. We do not currently intend to list the Penguin Solutions Delaware common stock on any other stock exchange. We do not currently intend to list the Penguin
Solutions Delaware convertible preferred stock on any stock exchange.

Required Vote

To be approved, the Scheme of Arrangement Proposal must receive the affirmative vote of 75% or more of the nominal value of the Penguin
Solutions Cayman ordinary shares and Penguin Solutions Cayman convertible preferred shares voted at the Scheme Meeting by the shareholders as of the Voting Record Time who are entitled to vote and who are present (either in person (including via
live webcast) or represented by proxy) and who vote at the Scheme Meeting.

Holders of Penguin Solutions Cayman ordinary shares and
Penguin Solutions Cayman convertible preferred shares will vote together on the Scheme of Arrangement Proposal.

As of the Voting
Record Time, there were 52,800,546 ordinary shares and 200,000 convertible preferred shares of Penguin Solutions Cayman outstanding, and we had 39 shareholders of record.

Board Recommendation

The Penguin
Solutions Cayman Board has unanimously approved and recommends that you vote “FOR” the Scheme of Arrangement Proposal at the Scheme Meeting.

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Material Tax Considerations Relating to the Transaction to Holders of Penguin Solutions Cayman Ordinary Shares

U.S. Federal Income Tax Considerations