Flex entered a definitive agreement to acquire Electrical Power Products, Inc. (EP2) for approximately $1.1 billion in cash. The purchase price reflects anticipated tax benefits of about $0.1 billion, implying approximately $1.0 billion net of tax benefits. Management expects the deal to be accretive to adjusted EPS in the first full fiscal year after closing. EP2 is projected to generate approximately $323 million in revenue for the fiscal year ending March 31, 2026, with anticipated double-digit organic growth. EP2 has a mid to high-teens adjusted EBITDA margin profile and operates a scaled manufacturing campus in Des Moines, Iowa. The acquisition broadens Flex’s Critical Power portfolio and deepens its presence with utility, power generation, and industrial customers. Closing is targeted for Q1 of Flex’s fiscal year 2027, subject to customary conditions, including Hart-Scott-Rodino (HSR) clearance. Citi advised Flex; RA Capital Associates LLC advised EP2.