Kuehne + Nagel announced a comprehensive, multi-year strategic collaboration with $Amazon.com(AMZN)$ , running up to 7 years.
Beyond traditional e-commerce freight forwarding and retail logistics, the agreement expands into managing end-to-end supply chain infrastructure for AWS.
Under the extended agreement, K+N will handle full lifecycle logistics for AWS data center infrastructure. The scope covers construction logistics, server and equipment deployment, ongoing maintenance, power and cooling infrastructure transit, and hardware upgrades.
Amazon will have an option to purchase existing shares of Kuehne+Nagel, with the acquisition conditional upon meeting commercial milestones and providing services for a period of up to seven years.
This can be settled in cash or, at Amazon's option, in shares. To support this arrangement, Kuehne+Nagel stated that it engaged an external financial institution to conduct hedging transactions related to its shares.
AWS continues to scale global data center capacity at a record pace, driven by generative AI demand. Securing K+N's 100+ country global network de-risks hardware supply chain bottlenecks and lead times.
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