AMD's 43 Billion Trading Volume Day Sees 11th Rank as It Sells ZT Systems Unit to Sanmina
On May 19, 2025, Advanced's trading volume reached 43.02 billion, ranking 11th in the day's stock market activity. Meanwhile, AMDAMD-- shares fell by 2.07%.
AMD has entered into a definitive agreement to sell ZT Systems' U.S.-based data center infrastructure manufacturing business to SanminaSANM--. The transaction is expected to close near the end of 2025, subject to regulatory approvals and customary closing conditions. This move is part of AMD's strategy to avoid competing with its customers and to focus on its core strengths in AI systems design and customer support.
Sanmina, a U.S.-based company providing integrated manufacturing solutions, will become a preferred partner for AMD in introducing new products in the cloud rack and large-scale AI solutions. The acquisition includes a contingent payment of up to $450 million, in addition to the $3 billion in cash and stock. This deal follows AMD's earlier acquisition of ZT Systems for $4.9 billion in March 2025.
AMD's decision to divest ZT Systems' manufacturing unit has drawn interest from various manufacturers, including Taiwanese OEM makers Compal and Wiwynn, as well as U.S. electronics firm Jabil. However, Inventec and Pegatron decided not to participate. Sanmina's expertise in liquid cooling, manufacturing capabilities, and knowledge in cloud and AI setup will enhance its global range and vertical integration skills, providing a competitive advantage to its customers.
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