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Flex Announces Intention to Spin Off its Cloud and Power Infrastructure Segment into a New Independent Publicly Traded Company

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6 months ago

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Spin-off will create two companies with distinct growth strategies that are poised to drive significant customer and shareholder value

News summary

The new company (“SpinCo”) will be a high-growth critical digital and electrical infrastructure company, delivering end-to-end power and thermal management technologies and integrated infrastructure systems for AI data centers and mission-critical applications.Flex will continue as a leading advanced manufacturing company, designing and building highly complex products and services at global scale for premier brands across diversified end markets, with a disciplined focus on portfolio optimization, durable cash flow, and shareholder returns.Revathi Advaithi will become CEO of SpinCo. She will also serve as Chairman of the Board of Directors of Flex for a transitional period upon the completion of the spin-off.Michael Hartung will be named CEO of Flex.Transaction intended to be tax-free to shareholders and targeted to close in the first quarter of calendar 2027.

AUSTIN, Texas, May 5, 2026 /PRNewswire/ — Flex (NASDAQ: FLEX) today announced that its Board of Directors has unanimously approved moving forward with a plan to spin off its Power and Cloud portfolio from Flex, creating two independent, publicly traded companies, each optimally positioned to serve their customers and create value for their shareholders.

“Today’s announcement is the next step in a deliberate transformation that has reshaped Flex into a technology-focused industrial company over the past seven years,” said Revathi Advaithi, Chief Executive Officer of Flex. “By creating two focused, independent companies, we are giving SpinCo the platform to build and scale the products and digital infrastructure that the world’s most demanding AI workloads depend on, and Flex the focus to deliver advanced manufacturing solutions at global scale for diversified industries. We believe each company will have the strategic clarity and dedicated leadership to drive exceptional outcomes for its respective customers and shareholders. I’m excited to be part of the journey for both companies.”

Benefits of the spin-off

As separate companies, SpinCo and Flex are expected to benefit from:

Sharpened strategic focus and executionDistinct financial profiles and capital allocation policiesImproved transparency around performance and expectationsUnique investment approaches to fund long-term profitable growth

Two leading companies with distinct growth strategies

SpinCo: A global leader in critical digital infrastructure, delivering end-to-end power and thermal management technologies for AI data centers and mission-critical applications

SpinCo enables the scalable and reliable deployment of high-density digital and electrical infrastructure for diverse end markets like AI data centers and utilities. By integrating power, cooling, and compute at the system level, SpinCo delivers coordinated, system-level solutions designed to replace fragmented, multi-vendor approaches—enabling customers to achieve faster time-to-capacity, improved infrastructure reliability, and scalable performance as power densities and thermal complexity continue to increase.

SpinCo is well positioned to benefit from long-duration secular trends, including electrification, rising power intensity, and increasing infrastructure complexity. These dynamics are driving a sustained, multi-year buildout of digital infrastructure, particularly as artificial intelligence adoption accelerates. With a differentiated technology portfolio spanning power distribution, thermal management, and integrated infrastructure systems, from grid to chip, deep customer relationships, and a globally integrated engineering, manufacturing, and service model spanning 22 engineering and manufacturing centers, SpinCo is positioned to grow share and pursue targeted acquisitions to expand its capabilities.

As an independent company with experienced leadership and dedicated capital allocation, SpinCo will have the operational focus and strategic flexibility to execute on its growth opportunities. Flex is targeting SpinCo to generate approximately 65% – 75% revenue growth in fiscal 2027, with an acceleration to 80%+ in fiscal 2028.

Flex: A future-ready manufacturing partner designed for speed, scale, and resilience

Following the spin-off, Flex will continue to operate as a leading global manufacturing partner organized into two segments—Integrated Technology Solutions and Regulated Manufacturing Solutions—delivering design, vertically integrated manufacturing, and supply chain solutions enabled by automation, digital factories, and advanced processes. The company will serve the healthcare, industrial, automotive, communications, and lifestyle end markets. As customers face increasing product complexity, tighter development timelines, and growing regionalization requirements, Flex will help accelerate time to market and enable global scale through its end-to-end capabilities. With more than 75 manufacturing and logistics sites across 30 countries, Flex provides customers with sourcing flexibility and operational resilience amid ongoing supply chain and geopolitical disruptions. Following the spin-off, the company is expected to continue to be well-positioned to benefit from long-term secular growth trends, including the expansion of connected medical devices, drug delivery systems, energy infrastructure, robotics, satellite communications, and advanced networking. With a simplified portfolio and sharper strategic focus, we believe Flex is positioned to expand margins and actively optimize its portfolio toward higher-growth opportunities—driving strong cash flow and shareholder returns over the next few years.

Flex, excluding SpinCo, is expected to be strongly positioned for low-to-mid-single-digit growth, continued margin expansion, cash generation, and a robust capital return framework.

“After more than 20 years with the company, I’m honored to help lead Flex into its next chapter,” said Michael Hartung. “We’re well positioned to build on our longstanding foundation of global scale, operational excellence, and deep customer partnerships across regulated and technology-driven industries. By remaining focused on our strategic priorities and executing our proven playbook, we will continue to be the global manufacturer behind the products and systems that keep the world running, while delivering meaningful, long-term value for our customers and shareholders.”

Additional details of the transaction will be posted on the company’s website.

Citi, PJT Partners and BofA Securities are serving as financial advisors to Flex in connection with the spin-off.

Media, Investors, & Analysts

Michelle Simmons
Senior Vice President, Global Investor Relations and Public Relations
(669) 242-6332
michelle.simmons@flex.com

Media
press@flex.com

Dan Moore / Ed Hammond / Clayton Erwin
Flex-CS@collectedstrategies.com

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Words such as “anticipate,” “believe,” “expect,” “intend,” “may,” “plan,” “project,” “will,” and similar expressions identify forward-looking statements. These forward-looking statements include, without limitation, statements regarding the planned spin-off of our cloud and power infrastructure business into an independent, publicly traded company; the expected timing of the spin-off and the ability to complete the spin-off; the anticipated benefits of the spin-off, including enhanced strategic focus, financial flexibility, and value creation for shareholders; the expected tax-free treatment of the spin-off for U.S. federal income tax purposes; the expected future performance of each company following completion of the spin-off; management changes and leadership of each company; and statements about business strategies, growth opportunities, market position, and financial outlook for each company. These forward-looking statements are based on current expectations, estimates, and assumptions involving risks and uncertainties that could cause actual outcomes and results to differ materially from those anticipated by these forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements.

Risks and uncertainties related to the proposed spin-off include, but are not limited to: uncertainties as to whether the spin-off will be completed and the timing thereof; the possibility that various conditions to the completion of the spin-off may not be satisfied or waived; the possibility that the spin-off will not qualify for the expected tax-free treatment for U.S. federal income tax purposes; the risk that the spin-off may be more difficult, time-consuming, or costly than expected, including the impact on Flex’s resources, systems, procedures, and controls; the possibility that the strategic, operational, and financial benefits of the spin-off may not be achieved or may take longer to achieve than expected; the failure to obtain, or delays in obtaining, required legal, regulatory or other approvals necessary to complete the spin-off; disruption from the spin-off, including potential adverse effects on relationships with customers, suppliers, employees, and other business partners; competitive responses to the announcement or completion of the spin-off; diversion of management’s attention from ongoing business operations; the possibility of disputes, litigation, or unanticipated costs in connection with the spin-off; uncertainty regarding the financial performance of either company following the spin-off; negative effects of the announcement or pendency of the spin-off on the market price of Flex’s securities and/or on Flex’s financial performance; the ability to achieve anticipated capital structures, credit ratings, and financing in connection with the spin-off; the ability to retain key personnel; impacts of geopolitical conflicts; and any changes in general economic and/or industry-specific conditions. Additional information concerning risks relating to our business is described under “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our most recent Annual Report on Form 10-K and in our subsequent filings with the U.S. Securities and Exchange Commission. All forward-looking statements are made as of the date hereof, and Flex assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by applicable law.

 

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SOURCE Flex

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Trive Capital Announces Sale of EarthLink

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15 minutes ago

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October 20, 2026

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DALLAS, Oct. 20, 2026 /PRNewswire/ — Trive Capital (“Trive”) is pleased to announce that it has closed on the sale of EarthLink, LLC (“EarthLink” or the “Company”) to a family office consortium consisting of WaveDivision Capital (“Wave”), The Pritzker Organization (“TPO”) and Stephens Capital Partners (“SCP”), in partnership with EarthLink’s management team. Headquartered in Atlanta, Georgia, EarthLink is one of the largest internet service providers in the United States, serving over 500,000 internet and managed services customers nationwide. Through partnerships with several of the nation’s largest fiber and 5G providers, EarthLink has built an asset-light, nationwide network that can offer fiber internet service to more than 68 million homes.

Since Trive’s investment in EarthLink in 2018 as part of a corporate carveout, the Company has transformed from a legacy DSL and email business in precipitous decline to an asset-light connectivity platform serving over 500,000 consumers and small businesses nationwide. The Company has grown and will continue to grow based on its expanded fiber and 5G internet solutions and commitment to customer service for consumers and small businesses.

Shravan Thadani, Partner at Trive, stated, “EarthLink has been a true partnership between management and Trive in every sense of the word. The team built a differentiated, asset-light platform that gives consumers and small businesses real choice in how they get connected, and did so while standing up every function of the platform outside of its former, public parent. We are proud to have been a part of such an iconic brand’s journey and will continue to support Wave, TPO and SCP as they work with management to accelerate growth in the coming years.”

“During our partnership with Trive, we have taken one of the most trusted brands in the internet space and turned it into a trusted option for consumers and small businesses nationwide,” commented Glenn Goad, Chief Executive Officer of EarthLink. “As internet access has become one of the most important utilities in a consumer’s life, EarthLink has a renewed focus on making it easier for our customers to access the best internet options at affordable prices. Trive was critically important through and after the carve-out, and we are excited to partner with Wave, TPO and SCP to continue to grow EarthLink alongside our trusted fiber and 5G partners. Our collective goal remains the same: to provide the right technology at the right price, supported by a world-class customer experience.”

About EarthLink

EarthLink is an internet service provider offering fiber and 5G internet solutions for homes and businesses nationwide. With a focus on dependable connectivity, flexible plans, and customer-focused service, EarthLink provides broadband options designed to meet the needs of modern households and businesses. EarthLink is headquartered in Atlanta, Georgia and serves over 500,000 customers. To learn more, visit earthlink.net.

About Trive Capital

Trive Capital is a Dallas, Texas based private equity firm with more than $8 billion of regulatory assets under management. Trive focuses on investing equity and debt in what it sees as strategically viable middle-market companies with the potential for transformational upside through operational improvement.

The Trive team is comprised of seasoned investment professionals who have been involved in over 250 middle-market transactions representing in excess of $10 billion in revenue across Trive’s targeted industry sectors and situations.

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SOURCE Trive Capital

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Rondo Energy and Rio Tinto Advance Australia’s Largest Thermal Energy Storage Project

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October 20, 2026

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GLADSTONE, Australia, Oct. 20, 2026 /PRNewswire/ — Rondo Energy and Rio Tinto have started front-end engineering and design on the project for a 360 MWh storage / 30 MW discharge Rondo Heat Battery, supported by a grant from the Australian Renewable Energy Agency (ARENA).

ARENA’s funding for the project will be provided in stages, with an initial $3.6 million to complete front-end engineering and design work. Following successful completion of that study, ARENA will provide up to $38 million for deployment. ARENA has also approved up to $33.3 million in conditional contingency support, which would only be made available in defined circumstances to manage specific project risks, including cost overruns and electricity costs. 

If progressed, the project would be delivered at Rio Tinto’s Yarwun alumina refinery near Gladstone, Queensland and would be one of the first large-scale demonstrations of thermal energy storage for industrial process heat globally, and a world-first for the alumina industry.

Rondo Heat Batteries use abundant, low-cost midday electricity to charge, storing energy as high-temperature heat in refractory brick, and supplying energy as 24/7 continuous process heat to industry. Typically, the heat is delivered as steam, directly into an industrial facility’s steam network. Australia regularly has 4-6 hours of surplus solar-generated renewable electricity in the middle of the day, but industrial facilities need heat 24 hours a day, not just when the sun is shining. By charging when electricity is cheap and abundant and discharging continuously, Rondo Heat Batteries turn short periods of low-cost electricity into 24/7 delivery of low-cost steam. 

For energy-intensive industries such as alumina refining, Rondo Heat Batteries create a pathway to electrification that addresses both emissions and energy costs. Because the heat battery slots into the existing steam network, the facility’s processes run exactly as before — the only thing that changes is the energy for that heat: no longer from fossil fuels, but sourced from low cost electricity instead. The Yarwun study will assess the technical and economic viability of integrating the technology into refinery operations.

“This project shows how Australia’s abundant energy can become a competitive advantage for industry,” said Dr. Kira Rundel, Rondo’s Head of Australia. “Heat batteries allow manufacturers to use low-cost electricity to produce the reliable, round-the-clock heat their operations need. Australia’s largest heat battery will show how factories can cut emissions without increasing energy costs, helping Australian industry to increase global competitiveness and supporting local manufacturing jobs.”

Rio Tinto Pacific Operations Managing Director Armando Torres said: “Reducing emissions from alumina refining is complex, particularly when it comes to generating the high-pressure steam needed for our operations.

“This study will help us determine whether thermal energy storage can provide a technically and economically viable alternative to fossil fuels for part of Yarwun’s steam requirements.

“The best way to tackle challenges of this scale is through collaboration between industry, government, and technology partners. We welcome ARENA and Rondo’s support as we assess technologies that could help reduce our Scope 1 emissions while maintaining reliable operations at Yarwun.”

About Rondo Energy

Rondo Energy delivers firm heat and power, including combined heat and power (CHP), to heavy industry and provides power solutions and long duration storage to data centers. For industrial heat applications, Rondo Heat Batteries convert 4-6 hours of low-cost electricity into continuous 24-hour, high-temperature heat, delivered as steam or hot air up to 1,000°C. The heat delivered integrates directly with existing industrial equipment and processes, eliminating on-site emissions and running on lower cost energy. Rondo heat storage can integrate with steam turbines to deliver combined heat and power (CHP) for industry, and long duration power-to-power solutions for large energy consumers such as data centers. Built on proven refractory brick as the thermal storage medium, Rondo’s platform is engineered for multi-decade operation in the most demanding industrial environments.

Rondo Heat Batteries have been delivering firm heat and power at scale since 2023, with operational facilities serving customers in fuels and cement (including steam driving turbines for electricity) in the United States and in Asia. The next unit will come online shortly – a 100 MWh Rondo Heat Battery under construction in Europe for a chemical plant. Rondo is a global company based in California, with teams across North America, Europe, the Middle East, and Australia. Providing heat and power solutions to the alumina industry is an area of focus for the company due to the strong fit of Rondo’s technology with the heat and power needs of the alumina industry.

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SOURCE Rondo Energy

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14 Organizations Earn CHIME’s Highest Digital Health Most Wired Designation for 2026

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October 20, 2026

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ANN ARBOR, Mich., Oct. 20, 2026 /PRNewswire/ — The College of Healthcare Information Management Executives (CHIME), the leading professional organization for digital health leaders, today announced 14 organizations have achieved Level 10 in the 2026 CHIME Digital Health Most Wired (DHMW) survey. Powered by Digital Health Analytics (DHA), the survey is CHIME’s global assessment of digital health excellence, with Level 10 as its highest designation.

Representing health systems across the U.S., this year’s Level 10 organizations demonstrated exceptional performance across the enterprise digital ecosystem, leveraging technologies, data, infrastructure, and strategic practices shaping modern care delivery. The prestigious designation recognizes organizations that have moved beyond technology implementation to integrate digital investment across clinical and operational environments, producing measurable value for their health systems, patients, and providers.

The 2026 DHMW survey maintains a rigorous scoring methodology designed to account for differences in organizational size, complexity, risk, and resources, creating an equitable measure of performance across diverse healthcare environments. The model evaluates organizations across 10 distinct segments, measuring both the foundational elements required for digital maturity and the advanced practices that demonstrate broader adoption, integration, and value.

“Healthcare is experiencing extraordinary technological acceleration, driven in large part by the rapid adoption of AI and increasingly sophisticated digital capabilities,” said Russ Branzell, President and CEO of CHIME. “As that pace intensifies, the Digital Health Most Wired Survey continues to provide a rigorous benchmark for evaluating whether technology is translating into meaningful progress. It gives leaders a data-driven view of performance, critical gaps, and opportunities for high-impact investment while setting an industry standard of excellence for responsible technology adoption. The Level 10 organizations recognized this year exemplify the leadership and innovation required to turn digital investment into measurable improvements in care delivery.”

The 2026 Digital Health Most Wired survey includes data from more than 45,000 facilities worldwide, offering a global view of technology adoption, investment and performance across healthcare organizations and the evolving role of digital health in care delivery, operations and the patient and provider experience.

Each participating organization received a customized benchmarking report through the Digital Health Analytics (DHA) portal, offering detailed insights into performance metrics across 10 key segments:

InfrastructureSecurityAdministrationSupply chainAnalytics and data managementInteroperabilityPopulation healthPatient engagementInnovationClinical quality and safety

Fourteen healthcare organizations achieved Level 10 distinction, the highest designation awarded through the 2026 CHIME Digital Health Most Wired survey. The recipients are Baptist Health System (Jacksonville, Florida); Bon Secours Mercy Health (Ohio); MetroHealth Medical Center (Ohio); MultiCare Health System (Washington); Northeast Georgia Health System (Georgia); NYU Langone Health (New York); Parkview Health (Indiana); Roper St. Francis Healthcare Services, Inc. (South Carolina); Stanford Health Care (California); UCHealth (Colorado); UNC Health (North Carolina); University Health (Texas); University of Utah Health (Utah); and UPMC (Pennsylvania).

Collectively, the 2026 Level 10 designees reflect a healthcare environment in which digital performance increasingly depends on the alignment of technology strategy, data, infrastructure, and organizational priorities with strong leadership and a sustained commitment to innovation. Their results demonstrate how leading health systems are converting digital investment into measurable gains across clinical and operational environments while establishing the foundations required to responsibly adopt emerging technologies at scale.

CHIME will formally recognize these distinguished Level 10 honorees on November 12, 2026, during the CHIME26 Fall Forum in Denver, CO, which runs from November 11-14.

For additional details on the 2026 Digital Health Most Wired survey and the complete list of all Level 7-10 award recipients, visit dhanalytics.org.

About CHIME 
The College of Healthcare Information Management Executives (CHIME) is the leading professional organization for digital health executives and leaders. CHIME provides a trusted, collaborative environment where members and partners connect, share best practices, advance professional development, and advocate for the effective use of information and technology to improve health and care in the communities they serve. For more information, please visit chimecentral.org.

About Digital Health Analytics (DHA)
Digital Health Analytics provides healthcare organizations, technology companies, and academic researchers with the data, benchmarking, and market intelligence they need to lead digital transformation — 365 days a year. Powered by the College of Healthcare Information Management Executives (CHIME), DHA helps provider organizations supercharge their digital health transformation capabilities. For more information about DHA, visit dhanalytics.org.

For media inquiries, please contact:

Calli Dretke
Executive Vice President & Chief Digital and Marketing Officer
CHIME
734.665.0000
cdretke@chimecentral.org

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SOURCE College of Healthcare Information Management Executives (CHIME)

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