Lukas Walton is selling a large amount of of his shares, approximately 8.2% of the outstanding shares, which are not registered, in First Solar through a secondary offering. This requires a registration and prospectus listing details such as who the underwriter is and disclosure requirements associated with such a secondary offering. Since the company is established and current on SEC filings and the company receives none of the proceeds, the additional detail required is minimal.
After the sale, Lukas will own 4.9% of First Solar which, absent controlling interest in other entities that also own shares, will remove the requirement that he file annual statements since it is below 5%.
Alternately, Lukas could have sold shares gradually using Form 144. However, there are limits, based on average share trading volume to such sales which would have required a considerable time to sell the large amount of shares he holds. This would have raised questions as to why such a large shareholder was selling qtys. of shares near the 144 limit each time he filed a 144. Further, the registered offering, with strong disclosure requirements by both the shareholder and company allows coordination with underwriters to sell large amounts of shares with minimal market impact.
Through this secondary offering, Lukas has sold these shares on Sept 21 per SEC filing:
Upon the satisfaction of the conditions set forth in the underwriting agreement entered into in connection with the Registered Sale (as described in Item 6 of this Amendment), the Reporting Person sold such shares at a net price of $68.50 per Share on September 21, 2020.
See filings here:
S-3 Registration filing