ARRAY Technologies and Shoals Technologies have announced a stock-for-stock merger
The combined entity will be led by Shoals Technologies CEO Brandon Moss
The transaction is expected to complete in Q1 2027 with a new company name and ticker symbol
Solar tracker and structural balance of system (SBOS) specialist ARRAY Technologies and electrical balance of system (eBOS) solutions provider Shoals Technologies have announced a stock-for-stock merger to become one big entity.
Shoals will own close to 65% of the combined company while ARRAY will own the remaining 35%, although ARRAY will be the legal acquirer. It will have a new corporate name and ticker symbol once the transaction closes in Q1 2027.
Under the merger agreement, the two US-based companies will combine to become an integrated energy infrastructure platform with a product portfolio spanning foundations, trackers, fixed-tilt racking, electrical infrastructure, wire management, and power delivery systems.
Kevin Hostetler, ARRAY CEO, explained, "Although structural and electrical systems must operate seamlessly together in the field, they have historically been designed and sourced through separate channels. This combination changes that."
The combined entity will provide integrated design, procurement, and warranty support for solar and battery storage projects. This will simplify project execution, reduce installation costs, and lower maintenance requirements, added Hostetler.
Their rationale is to capitalize on cross-selling opportunities to drive incremental revenue growth, since in 2025 and 2026 only around 20% of projects served by both companies utilized combined products from them. For 2027, they expect combined revenue of $2.2 billion to $2.4 billion, along with an adjusted EBITDA of $410 million to $480 million.
Brandon Moss, the CEO of Shoals, said the combined company will pursue expansion opportunities across the solar value chain, data center markets, and 'other high-growth adjacencies'.
Within three years of the transaction closing, the combined entity is expected to generate over $100 million of incremental adjusted EBITDA synergies annually in identified commercial and cost savings opportunities.
Moss will serve as the CEO of the combined company on completion of the transaction. ARRAY CEO Kevin Hostetler will be the Special Advisor.
According to Philip Shen, Managing Director and Senior Research Analyst at ROTH, this merger was being speculated for quite some time. Both companies already share the same Chairman of the Board of Directors, Brad Forth, who will serve as Chairman of the combined company.
Shen stressed, "With NXT (Nextpower) aggressively building out a comprehensive solution for utility scale solar developers/IPPs and EPCs, we think this is a natural move for SHLS and ARRY to combine. The SHLS offering combined with ARRY's trackers, foundations, and wire management now provide the combined entity an offering that can compete with NXT."
He adds, though, “Integration is always difficult, so we shall see how this process goes.”