GoKawiilAmazon gets warrants for up to $340M in Generac stock in data center power deal
Amazon received warrants to buy up to 1.69 million Generac shares at $200.93 each, potentially worth up to $8 billion, as part of a deal for Generac to supply backup power generators to Amazon's data centers. Generac shares jumped more than 40% in after-hours trading following the news, with initial generator deliveries expected to total $2.4 billion between 2027 and 2028.
GoKawiil's interpretation of the reporting above, not reported fact.
The deal reflects Amazon's strategy of taking equity stakes in key suppliers to lock in capacity for its AI-driven data center buildout, following similar warrant arrangements with Qualcomm and other partners. It also underscores how surging AI compute demand is creating major new revenue opportunities for infrastructure providers like Generac far beyond their traditional markets.
- Amazon can acquire up to 1.69 million Generac shares at $200.93 each, a stake worth as much as $8 billion.
- Generac will supply backup generators for Amazon data centers, with $2.4 billion in deliveries expected by 2028.
- This follows a pattern of Amazon taking warrant-based stakes in suppliers like Qualcomm, Astera Labs, and Plug Power.
Generac Home Backup Generator — Generac is the exact company behind the backup power deal powering Amazon's data centers, so it's worth knowing they also make residential standby generators for home use. If a data-center-scale company trusts Generac to keep critical infrastructure running during outages, it's a solid signal for reliability at home too.
See Generac Home Backup Generator on Amazon → Affiliate link — we may earn a commission on purchases, at no extra cost to you. Product picked by AI based on this article; it is not a tested recommendation.Source: cnbc.com — Annie Palmer, 2026-09-16
Published there as: “Amazon obtains right to buy stock in Generac, boosting power company's share price by over 40%”
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