Generac Lands $8 Billion Deal with Amazon for Data Center Backup Power
Generac Holdings, Inc., a leading manufacturer of power generation equipment, has secured an $8 billion deal to supply backup generators to Amazon's data centers. The agreement includes a warrant for Amazon to purchase up to 1.69 million shares of Generac at over $200 per share, valuing the total at approximately $340 million.
The deal marks a significant milestone for Generac, with shares surging by more than 25% in recent trading. The company's stock has now risen over 60% since the start of the year, while Amazon's shares have added around 9% in 2026 so far.
According to analysts at William Blair, this agreement 'provides clarity regarding the demand underpinning management's recently announced plan to triple manufacturing capacity for large-format generators by August 2027.'