SunPower to Issue Bonus Shares for 12% and 7% Notes Interest Payments
SPWR•SunPower will offer common shares with bonus shares in lieu of cash interest for its 12% and 7% Convertible Senior Notes due 2029 on July 1, 2026 and January 1, 2027. This equity-in-lieu plan follows a May 2026 Fortis Capital investment in SunPower’s 10% notes, fully bolstering its Q2 cash position.
1. Offer Structure
SunPower is negotiating with holders of its 12% and 7% Convertible Senior Notes due 2029 to accept common stock of equal value plus bonus shares instead of cash interest payments scheduled on July 1, 2026 and January 1, 2027. The issuer aims to satisfy up to two upcoming interest obligations through this stock-in-lieu arrangement.
2. Q2 Liquidity Boost
In May 2026 Fortis Capital made an incremental investment in SunPower’s 10% notes, fully bolstering the company’s cash position for the second quarter. This infusion provided the liquidity cushion needed to pursue the stock-in-lieu interest transaction without tapping additional cash reserves.
3. Focus on Financial Flexibility
CEO T.J. Rodgers stated the bonus-share arrangement is intended to preserve financial flexibility through Q3 2026, allowing SunPower to allocate its cash toward operations and growth initiatives. SunPower will engage with note holders to finalize terms and complete the equity issuance for interest on the two series of notes.
