Flex to Acquire EPC Power Corp. for $4.4 Billion in Cash

Flex Ltd. has entered into a definitive agreement to acquire EPC Power Corp. for an aggregate cash consideration of $4.4 billion. The acquisition is a strategic move to bolster Flex's Cloud and Power Infrastructure business ahead of its planned separation into an independent, publicly traded company ("SpinCo") in the first quarter of 2027.

Key Details

• Transaction Details: Flex, through a wholly-owned subsidiary, will acquire all equity interests of EPC Power for $4.4 billion in cash. The deal is expected to close in the fourth quarter of 2026, subject to regulatory approvals.
• Strategic Rationale: EPC Power will be integrated into Flex's Cloud and Power Infrastructure business segment, which Flex plans to spin off as a new public company in Q1 2027.
• Financing: To fund the transaction, Flex has secured a commitment for a $4.4 billion, 364-day senior unsecured bridge loan facility, which it intends to replace with a combination of permanent debt and equity financing.