Super Micro raises $3.75B via mandatory convertible preferred stock with 7% dividend

Filed June 15, 2026 · Period ending June 10, 2026 · ~1 min read

Key Changes

• high

  SMCI issued 75M depositary shares representing $3.75B in mandatory convertible preferred stock with 7% annual dividend, payable quarterly starting Sept 2026. Preferred shares automatically convert to common stock in June 2029.

  Item 3.03 verify on EDGAR →
• high

  Common stock dividends and buybacks are now prohibited until all preferred dividends are paid. This restriction remains in effect as long as any preferred shares are outstanding, materially changing cash distribution priorities.

  Item 5.03 verify on EDGAR →
• high

  Each preferred share converts to 30.3-36.4 common shares in June 2029 based on stock price performance over a 20-day averaging period. This represents potential dilution of up to 136.4M common shares at the high end of the conversion range.

  Item 3.03 verify on EDGAR →