Shoals Technologies to Combine With Array Technologies, Town Hall Script Shows

What happened

Shoals Technologies Group, Inc. (ticker SHLS) is a maker of electrical balance-of-system components for solar projects — the wiring, connectors and related equipment that carry power between solar panels and the grid. Array Technologies, which filed the document described here, makes solar trackers, the structures that tilt panels toward the sun.

On November 4, 2026, Array filed a script of an all-employee town hall led by its chief executive, Kevin Hostetler, in which he said Array "has entered into a definitive agreement to combine with Shoals." The filing was made under SEC Rule 425, a rule that applies to communications about a merger.

Shoals shares closed at $9.16 on the day, up 8.15% from the prior close of $8.47, on volume of about 30.0 million shares — roughly 6.6 times the stock's average daily volume of about 4.5 million, according to the price data.

What the town hall script says

Hostetler described the deal as creating "an integrated energy infrastructure platform spanning structural and electrical balance-of-system solutions." He said Shoals brings "a leading position in solar electrical infrastructure, with expanding capabilities in battery energy storage and data center power systems," and called the two companies' products complementary.

On leadership, Hostetler said Shoals CEO Brandon Moss "will lead the combined company following closing, expected in the first quarter of 2027," and that Hostetler himself will move into a Special Advisor role. The combined company would have a 10-member board with four independent directors from each company, with Brad Forth continuing as chair. Headquarters would remain in Albuquerque, New Mexico, with corporate offices in Chandler, Arizona.

Hostetler said a new corporate name and ticker symbol are intended to be announced "in the coming months."

The script gives no financial terms — no purchase price, exchange ratio or ownership split between the two companies' shareholders. It also does not state why the two sides agreed to combine beyond Array's stated strategy of expanding its balance-of-system offerings.

The path to close

Gina Gunning, speaking later in the script, said the transaction is expected to close in the first quarter of 2027, "subject to shareholder and regulatory approvals and other customary closing conditions." Until then, she said, the two companies will "continue to operate as separate, independent companies," and Array employees' day-to-day responsibilities, reporting lines, facilities and pay are unchanged.

She also instructed employees to keep information-sharing with Shoals within authorized channels before closing, and to route media and investor questions to named communications and investor relations staff.

The filing states that the companies expect to file a joint proxy statement with the SEC and that Array intends to file a Form S-4 registration statement that would include that proxy statement and serve as Array's prospectus.

What this means

A Form 425 is the filing a company makes when it communicates publicly about a merger or acquisition. Rule 425, adopted under the Securities Act of 1933, requires written communications about a business combination to be filed with the SEC; the same document is also treated as soliciting material under the proxy rules. It is a disclosure obligation, not an approval step — nothing in a 425 filing decides whether a deal happens.

The document here is not a press release or a merger agreement. It is a prepared script for an internal employee meeting. That is why it reads like a briefing: it explains the strategic rationale to staff and tells them what not to do during the waiting period. The legally binding terms of the deal would sit in the merger agreement, which this filing only references.

A joint proxy statement is the document each company sends shareholders ahead of a vote on the deal, and a Form S-4 is the registration statement needed when a transaction involves issuing new shares as consideration. Their expected filing, per the document, is the next formal step. The filing does not say what shareholders of each company would receive.

Until closing, the two companies remain separate public companies. The script states plainly that "nothing is changing today and this is just the first step in the process," and it does not say whether either company's stock will continue trading under its current ticker after the combination.