Company: ARRY
Filing Date: 2025-05-06
Form Type: 10-Q
Source: 0001820721-25-000060
Chunk: 36

Company: Array Technologies, Inc.
Filing Date: 2025-05-06
Form: 10-Q
Item: Part I, Item 1
Chunk 36
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 initially, and remains currently, $36.02 per share. 

16

Consequently, if the Convertible Notes are converted, then the number of shares to be issued by the Company would be effectively partially offset by the shares of common stock received by the Company under the Capped Calls as they are exercised. The formula above would be adjusted in the event of certain specified extraordinary events affecting the Company, including: a merger; a tender offer; nationalization, insolvency or delisting of the Company’s common stock; changes in law; failure to deliver; insolvency filing; stock splits, combinations, dividends, repurchases or similar events; or an announcement of certain of the preceding actions.The Company can also elect to receive the equivalent value of cash in lieu of shares of common stock upon settlement, except in certain circumstances. The Capped Calls expire on December 1, 2028, and terminate upon the occurrence of certain extraordinary events such as a merger, tender offer, nationalization, insolvency, delisting, event of default, a change in law, failure to deliver, an announcement of certain of these events, or an early conversion of the Convertible Notes. Although intended to reduce the net number of shares of common stock issued after a conversion of the Convertible Notes, the Capped Calls were separately negotiated transactions, are not a part of the terms of the Convertible Notes, and do not affect the rights of the holders of the Convertible Notes. Other DebtOther debt consists of the debt obligations of STI Operations (“Other Debt”). Interest rates on Other debt range from 2.63% to 6.10% annually. Of the $35.3 million carrying value of the Other debt balance as of March 31, 2025, $16.1 million is denominated in Euros and $19.2 million is denominated in U.S. dollar. These debt obligations mature between 2025 and 2027.At March 31, 2025, STI Operations had three notes payable with a carrying value of $19.0 million outstanding, which resulted from reverse factoring arrangements with a bank. The notes payable mature within a year from issuance and are included in the carrying value of Other debt of $35.3 million.

8.    Redeemable Perpetual Preferred Stock

Series A Redeemable Perpetual Preferred StockThe Company entered into a Securities Purchase Agreement (the “SPA”), dated August 10, 2021 pursuant to which