Super Micro Computer, Inc. 8-K

What Happened
Super Micro Computer, Inc. filed an 8-K on January 26, 2026 announcing that its wholly‑owned Taiwan subsidiary (Super Micro Computer, Inc. Taiwan) entered into a facilities (credit) agreement providing two initial revolving lines totaling $350M (Facility A1) and $360M (Facility A2), for an aggregate of $710M. The Credit Agreement allows the borrower to seek increases up to a total commitment cap of $2.0B (subject to conditions). The company also disclosed its virtual Annual Meeting of Stockholders will be held April 15, 2026 (record date Feb 17, 2026) and set new deadlines for stockholder proposals (Feb 5, 2026).

Key Details

• Purpose & use: Proceeds may be used to procure components/raw materials and for general corporate purposes, including working capital for growth and expansion. Each draw must be tied to supplier invoices or purchase orders (invoice ≤100 days old or up to 80% of PO).
• Pricing & fees: Facility A1 (USD) = TAIFX3 + 1.0%; Facility A2 (USD) = Term SOFR + 1.2%; NTD loans = TAIBOR + 1.0% (floor 1.7%). Commitment fee on unused capacity (when utilization <50%) is 0.15% p.a.; prepayment/cancellation fee 0.15%; 0.10% fee to extend maturity.
• Security & guarantee: The parent company guaranteed the facilities (guaranty dated Jan 21, 2026). Collateral includes a second-ranking lien on the Taoyuan Bade District facility, a security interest in the borrower’s receivables and proceeds, and a pledged term‑deposit pool (maximum pledged amount $2.4B).
• Term & default: Initial maturity is one year from first utilization (extendable up to two one‑year extensions). Events of default include cross‑defaults, certain audit qualifications, material adverse changes, currency controls or nationalization, and Nasdaq de‑listing or trading suspension over 10 consecutive trading days; lenders may accelerate amounts if default occurs.

Why It Matters
This credit facility provides near‑term liquidity to Super Micro’s Taiwan unit to secure components and support working capital for growth—helpful given supply‑chain needs common in the server and systems business. The loans are short‑term (one year with limited extensions) and are secured and guaranteed by the parent, which creates contingent obligations and collateral priorities that investors should note. The agreement also contains customary covenants and default triggers (including a Nasdaq‑listing trigger) that could accelerate repayment if certain adverse events occur. The annual meeting timing and proposal deadlines are relevant for shareholders planning to submit proposals or director nominations.