Enovix is distributing a special dividend in the form of warrants—not cash—to common shareholders and holders of its two series of convertible notes. The warrants will give recipients the right to buy Enovix shares for $3 each, creating the potential for future share issuance if exercised.
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Who qualifies and when: Common shareholders on record at the close of business on November 13, 2026, are eligible. Enovix expects to distribute the warrants on or about November 18.
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Shareholder allocation: Common shareholders will receive one warrant for every four shares they hold on the record date. Any fractional warrant is rounded down to a whole warrant.
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Convertible noteholders also receive warrants: Holders of Enovix’s 3.00% convertible notes due 2028 and 4.75% convertible notes due 2030 on the record date will receive warrants without converting their notes. Their allocation is calculated using the applicable conversion rate and the principal amount of notes held, so they are treated as holding an equivalent number of shares for purposes of the distribution.
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How the warrants work: Each warrant can be used to buy one Enovix common share at an initial exercise price of $3. The holder can pay in cash or, for the 2028 notes only, deliver those notes at face value to exercise. The 2030 notes cannot be used to pay the exercise price.
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Full terms are still to come: Enovix said it will make the warrant agreement and related offering documents available. The announcement does not specify the warrants’ expiration date or other detailed exercise provisions.
What changes: Recipients get a right to buy shares, not shares themselves, so the distribution does not immediately increase the number of shares outstanding. If warrants are exercised, Enovix will issue shares, which would dilute existing shareholders. Cash exercises would bring in $3 per share issued; exercises paid for with 2028 notes would instead involve delivery of those notes at face value. Convertible noteholders do not have to convert their notes to receive the warrants.