Aerial view of the Amazon Web Services data center known as US East 1 in Ashburn, Virginia, United States, on October 20, 2025.
Jonathan Ernst | Reuters
Amazon Warrant granted to purchase up to $340 million worth of stock Generac The backup power company’s stock soared more than 40% in extended trading Wednesday.
As part of the deal, Generac will issue stock acquisition rights to Amazon for up to 1.69 million shares in the company at a price of $200.93 per share, for a total investment that could be worth $8 billion, the company said in a securities filing.
Generac will supply Amazon with backup power generators for its data centers, with initial deliveries expected to be made in 2027 and 2028 for a total value of $2.4 billion, the filing said.
Approximately 308,000 warrant shares vest immediately and the remaining tranche vests subject to payment to the generator.
The warrants represent nearly 3% of Generac’s outstanding shares, which had a market capitalization of about $10.3 billion as of Wednesday’s close.
This is Amazon’s latest infrastructure deal. Last week, Amazon signed deals with: Qualcomm It obtained a warrant to acquire up to $4 billion in Qualcomm stock for use in custom artificial intelligence chips.
Amazon Web Services, a leader in cloud infrastructure, is rapidly building data center capacity to meet the surge in computing demand associated with the artificial intelligence boom. Signed $38 billion in cloud contracts OpenAI It opened a sprawling $11 billion campus in November and October of last year. human.
Amazon frequently buys warrants and acquires stakes in suppliers, including semiconductor companies. Astera Research Instituteair cargo contractor ATSG, green hydrogen supplier plug power and Mr. Spartan Nash, grocer.
