Sanmina to acquire ZT Systems' data center business from AMD for $3 billion

From Nasdaq: 2025-05-19 07:55:00

Manufacturing solutions company Sanmina Corp. has agreed to acquire the data center infrastructure manufacturing business of ZT Systems from AMD Corp. for $3 billion. The deal includes $2.25 in cash, a $300 million premium, and $450 million contingent consideration.

The acquisition will establish Sanmina as a global manufacturing solutions provider and accelerate customers’ AI system deployments. ZT Systems’ annual revenue run-rate is $5 billion to $6 billion, with growth expected from new compute platforms.

With ZT Systems’ liquid cooling capabilities and global manufacturing facilities, Sanmina can offer end-to-end integration for Cloud and AI infrastructure. AMD will retain ZT Systems’ AI systems design business and partner with Sanmina for manufacturing.

The deal is expected to be accretive to Sanmina’s EPS in the first year and generate synergies from operational efficiencies. Sanmina has secured financing from Bank of America and the transaction is expected to close by the end of 2025.



Read more at Nasdaq: Sanmina Agrees To Acquire ZT Systems’ Data Center Infrastructure Manufacturing Business From AMD