Shoals Technologies Group, a US-based manufacturer of EBOS components, is under legal investigation by shareholder rights law firm Bragar Eagel & Squire. The investigation follows a class action complaint that was filed in May 2024. The case covers the period between May 2022 and November 2023 and is examining whether Shoals Technologies’ board of directors has breached fiduciary duties over warranty disclosures. According to the complaint, Shoals Technologies identified insulation “shrinkback” in wire harnesses at an Arizona solar project in March 2022. Similar issues were later reported in at least 300 projects, affecting about 30% of harnesses manufactured between 2020 and 2022. Shoals Technologies disclosed the issue in May 2023 and recorded a $9.3 million warranty liability. In November 2023, Shoals Technologies reported an additional $50.2 million charge, with remediation costs estimated between $59.7 million and $184.9 million. Shoals Technologies’ stock value fell over 20%, erasing about $550 million in market capitalization. Earlier this year, Shoals Technologies also debuted in Chile by supplying EBOS solutions for the 110 MW Alcones PV project.