SEC Filing Summary: SMART Global Holdings, Inc. (Form 8-K)
Business Context and Reporting Period
This Current Report on Form 8-K was filed by SMART Global Holdings, Inc. (the "Company") on October 14, 2020, reporting events occurring on October 8, 2020. The filing discloses the entry into a material definitive agreement regarding the Company's U.S. corporate headquarters.
Key Financial Metrics and Obligations
The filing details a new long-term lease obligation rather than standard financial performance metrics such as revenue or profit.
- Lease Term: Approximately 10 years from the Commencement Date.
- Property Size: 21,365 square feet located in Milpitas, California.
- Base Rent: Escalating from approximately $42,000 per month to approximately $55,000 per month over the lease term.
- Additional Costs: Tenant is responsible for its pro rata portion of operating expenses.
- Financial Performance: The filing text does not provide values for revenue, profit, cash flow, margins, debt, or liquidity.
Material Changes
The primary material change is the execution of a Lease Agreement with Regency Tasman Holdings, LLC. This agreement establishes the Company's new U.S. corporate headquarters. The filing does not report material changes to prior period financial results.
Outlook, Risks, and Management Commentary
Management indicates the leased premises will serve as the U.S. corporate headquarters upon the commencement of the lease. The filing includes standard legal disclaimers stating that representations and warranties in the lease are for the benefit of the contracting parties only and should be read in conjunction with other periodic reports. No specific guidance, risks, or contingencies beyond the lease obligations are detailed in this document.
Key Facts for Investor Verification
- Verify the exact "Commencement Date" for the lease, as rent obligations begin upon delivery of the premises in tenant improvement readiness condition.
- Review the full text of the Lease Agreement, which is referenced but not included in full in this 8-K, for specific termination rights and operating expense definitions.
- Confirm the impact of the new lease obligation on the Company's future cash flow and debt covenants in upcoming 10-K or 10-Q filings.
- Note that the filing metadata provided in the request listed "Penguin Solutions, Inc.," but the actual filing is for "SMART Global Holdings, Inc." (Ticker: SGH).