Loan & DebtJul 30, 2026, 06:36 AM
T1 Energy to Issue $120M Convertible Senior Notes
AI Summary
T1 Energy Inc. entered into agreements for a private offering of $120 million aggregate principal amount of 4.75% Convertible Senior Notes due 2031. The net proceeds will fund the construction and development of Phase 1 of its G2_Austin solar cell fab and for general corporate purposes. Additionally, the company amended its credit agreement to revise the "Change of Control" definition, specifically lowering the required ownership stake of TED in the Sponsor from 9.9% to 5%, to avoid a potential event of default related to ongoing restructuring and financing activities.
Key Highlights
- T1 Energy to issue $120.0 million aggregate principal amount of 4.75% Convertible Senior Notes due 2031.
- Notes are senior unsecured obligations, maturing August 1, 2031, with semi-annual interest payments.
- Net proceeds to fund Phase 1 construction of G2_Austin solar cell fab and general corporate purposes.
- Initial conversion rate is 224.0143 shares per $1,000 principal, equivalent to $4.46 per share.
- Conversion price represents a 20% premium over the July 29, 2026, closing price of $3.72.
- Amended Credit Agreement's "Change of Control" definition for TED's ownership from 9.9% to 5%.
- Waiver granted for any Change of Control resulting from TED's ownership falling below 9.9%.
Price Impact
More from TE