Array Technologies and Shoals Technologies Agree to All-Stock Merger Targeting $2.2B-$2.4B in 2027 Revenue

Array Technologies and Shoals Technologies have entered into a definitive agreement to merge in an all-stock transaction, with Shoals shareholders receiving 1.6931 Array shares for each share they hold. Upon closing, Shoals shareholders will own approximately 65% of the combined company, with Shoals CEO Brandon Moss set to lead the new entity. The deal is expected to close in the first quarter of 2027, subject to regulatory and shareholder approvals.

The combined company projects 2027 revenue of $2.2 billion to $2.4 billion and adjusted EBITDA of $410 million to $480 million, with annual EBITDA synergies exceeding $100 million expected within three years. The merger pairs Array's solar tracking and structural solutions with Shoals' electrical infrastructure products, and the combined business plans to expand into battery storage and data center infrastructure.

Shares of Array surged roughly 9% to 12% in premarket trading on the news, while Shoals rose about 6.4%. Array's own third-quarter results were mixed: revenue came in at $330.2 million, missing analyst estimates by approximately $215 million, with a net loss to common stockholders of $7.9 million, or $0.05 per share, and non-GAAP EPS of $0.06 against a consensus of $0.36. Shoals, by contrast, delivered a strong quarter, posting Q3 revenue of $195.3 million, well ahead of the $162 million estimate and up 43.8% year over year, with adjusted EBITDA of $39.8 million beating the $35 million forecast. Shoals also raised its full-year 2026 revenue guidance to $665 million to $685 million, above the prior consensus of $628 million.