$GNRC SIGNS UP TO $8B $AMZN DATA CENTER POWER DEAL
Generac has entered into a long-term agreement to supply backup power generators for Amazon data centers, with aggregate payments under the deal potentially reaching $8 billion.
Initial generator deliveries are expected to total about $2.4 billion across 2027 and 2028.
As part of the agreement, Amazon received warrants to purchase up to 1.69 million Generac shares at $200.93 each. About 308,000 shares vested immediately, while the rest will vest in stages as Amazon’s payments to Generac increase toward the $8B threshold.
The warrants can be exercised through September 2033.
The deal gives Generac a major long-term customer as hyperscalers continue expanding data center capacity and the power infrastructure needed to support it.