Sanmina Corporation has entered into an agreement to acquire ZT Systems’ data center manufacturing operations for up to $3 billion. The transaction includes $2.25 billion in cash, a $300 million premium divided equally between cash and equity, and a $450 million contingent consideration based on the business’s financial performance over the next three years.
ZT Systems will retain its AI systems design businesses. AMD will work with Sanmina as a U.S.-based partner for new product introduction manufacturing. The deal is expected to be finalized by the end of 2025.
Daniel Mitz, M&A partner at A&O Shearman, stated, “Representing Sanmina in this significant acquisition underscores A&O Shearman’s ability to seamlessly execute complex, technology-focused transactions.” He added that the deal demonstrates the firm’s experience and commitment to achieving outcomes for clients navigating today’s dynamic business environment.
The A&O Shearman team involved in representing Sanmina was led by M&A partner Daniel Mitz and included several other partners and associates from various practice areas such as corporate law, tech transactions, debt finance, antitrust, compensation and employment, data privacy, environmental law, litigation, real estate, tax law, and more.
