Investing.com — Kingspan Group () shares jumped more than 6% Wednesday after the building materials group agreed to acquire data center provider BMC Manufacturing in a deal worth up to €900 million.
Meath-based BMC Manufacturing designs, manufactures and installs critical power systems for data centers and employs more than 350 people across Dublin and Meath. The company is forecast to generate revenue of €280 million this year, with EBITDA expected to reach €90 million, a figure Kingspan said is anticipated to double in 2027.
Kingspan said BMC’s business would be “highly complementary” to its Advnsys subsidiary, which designs and builds data center facilities.
Under the terms of the deal, Kingspan will pay an initial €850 million for BMC Manufacturing, funded through €600 million in cash and €250 million in newly issued shares. A further €50 million is contingent on the company meeting certain profit targets.
The transaction is expected to close in the fourth quarter of 2026.
“We are excited to see this deal,” Bernstein analysts said in a note. “Strategically, BMC is a strong fit, expanding Kingspan’s exposure to the DC/AI thematic which is expected to drive multidecade growth initially with new build and evolving into repair & refurbishment in the long term.”