AcquisitionsMay 4, 2026, 09:22 AM
Flex Completes EP² Acquisition; Secures $1.45B Credit Facility
AI Summary
Flex Ltd. announced the completion of its acquisition of Electrical Power Products, Inc. (EP²), a leading provider of engineered-to-order electrical power control and protection systems. This strategic acquisition expands Flex's Critical Power portfolio and strengthens its market presence in utility, power generation, and data centers, supporting growth drivers like grid modernization and U.S. reshoring. Concurrently, Flex secured a new $1.45 billion senior delayed draw term loan credit facility, primarily to finance the EP² acquisition and for general corporate purposes.
Key Highlights
- Flex completed the acquisition of Electrical Power Products, Inc. (EP²).
- The acquisition expands Flex's Critical Power portfolio with engineered-to-order capabilities.
- It strengthens Flex's presence in utility, power generation, and data center markets.
- Flex secured a new $1.45 billion senior delayed draw term loan credit facility.
- Proceeds from the credit facility will finance the EP² acquisition and general corporate purposes.
- The credit facility matures 364 days after the initial funding date.
- Covenants include a Debt/EBITDA Ratio not exceeding 4.00:1.00 and an Interest Coverage Ratio not less than 3.00:1.00.