Oct 19 : Industrial conglomerate 3M said on Monday it was expanding its commercial relationship with Amazon and had issued a warrant to an Amazon subsidiary, allowing it the right to buy 3M common stock worth over $521 million.
Shares of 3M were up more than 5 per cent in extended trading after the announcement.
Here are more details:
• 3M said it has issued a warrant to a wholly owned Amazon subsidiary, giving it the right to purchase up to 3.16 million 3M shares over the next seven years at $164.89 per share
Guess WordCrack the word, one row at a timeBuzzwordCreate words using the given lettersMini SudokuTiny puzzle, mighty brain teaserMini CrosswordSmall grid, big challengeWord SearchSpot as many words as you can Show More Show Less• The agreement expands 3M's commercial relationship with the e-commerce major at a time major technology companies are increasing spending on data-center infrastructure to support AI and cloud-computing growth
• 3M said about 85 per cent of the warrant shares will become available as Amazon buys optical connectivity and other data-center products from 3M, with that portion becoming fully vested once total purchases hit $6 billion
• The remaining 15 per cent of the shares will vest once certain milestone-based conditions are met
• In July, Microsoft became the first hyperscaler to adopt 3M's Expanded Beam Optics technology in AI data centers