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Array Technologies, Inc. Announces $500 Million Capital Commitment from Blackstone
Reinforces leadership position and positions company to be industry consolidator ALBUQUERQUE, N.M., Aug. 11, 2021 (GLOBE NEWSWIRE) -- Array Technologies, Inc.
About this update from Array Technologies, Inc.
[{"type":"text","content":"Reinforces leadership position and positions company to be industry consolidator\nALBUQUERQUE, N.M., Aug. 11, 2021 (GLOBE NEWSWIRE) -- Array Technologies, Inc. (Nasdaq: ARRY), one of the world’s largest manufacturers of utility-scale solar technology, today announced that it had entered into an agreement to sell up to $500 million of perpetual preferred stock to private equity funds managed by Blackstone Energy Partners (“Blackstone”). Under the terms of the agreement, Array will sell $350 million of perpetual preferred stock to Blackstone at the initial closing and, at the Company’s option, up to an additional $150 million of perpetual preferred stock at any time prior to June 30, 2023. The perpetual preferred stock will be entitled to cash dividends at a rate of 5.75% annually and, subject to the receipt of certain regulatory approvals, Blackstone will receive 7.875 million shares of Array common stock representing approximately 5.8% of shares outstanding. Array intends to use the proceeds from the initial closing to repay existing indebtedness and fund growth initiatives. In connection with the investment, Blackstone will appoint one member to the Company’s board of directors. “This investment and its terms underscore the preeminent position that Array occupies in the solar industry and is a tremendous validation of the Company’s long-term growth potential. Marrying our technology and customer relationships with the financial strength and global reach of Blackstone makes us even stronger and positions Array to be a consolidator during this period of extraordinary supply chain disruption. I look forward to working together with our new partners at Blackstone to further grow the Company and accelerate value creation for our shareholders,” said Brad Forth, Chairman of Array Technologies. “Investing in Array is an opportunity for us to partner with an established solar industry leader and highlights Blackstone’s commitment to investing in companies that are enabling the transition to clean energy. We believe Array will be one of the long-term winners in the solar equipment market and that this investment will allow the company to accelerate its internal and external growth plans. We are very excited about what we will be able to achieve working together in the coming years,” said Bilal Khan, Senior Managing Director of Blackstone...