On June 20, 2025 First Solar Entered Into Tax Credit Transfer Agreement; To Sell $311.9M In Advanced Manufacturing Tax Credits

On June 20, 2025 (the "Effective Date"), First Solar, Inc. (the "Company") entered into a Tax Credit Transfer Agreement (the "Agreement") with a leading financial institution (the "Purchaser").

 

Pursuant to the Agreement, the Company agreed to sell to the Purchaser $311,858,186.10 of advanced manufacturing production tax credits ("Tax Credits") generated by the production of certain module components in the United States and the sale of such components to third parties during the first part of 2025 (the "Eligible Transaction") pursuant to Section 45X of the Internal Revenue Code of 1986, as amended. Pursuant to the Agreement, the purchase price for such Tax Credits was $296,265,276.80, payable in a single installment on the Effective Date. The Effective Date was subject to customary conditions precedent, including absence of default and the accuracy of representations and warranties of the Company. The Agreement contains customary covenants, indemnification, and termination provisions for comparable Tax Credit sale agreements.