secwatch.observer — SEC 8-K summary
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Issuer:     FLEX LTD. (FLEX)
CIK:        0000866374
Form:       8-K
Filed at:   2026-10-05T12:07:19+00:00
Accession:  0001193125-26-413173
Event type: other_material
Sentiment:  positive
Materiality: 0.80
Item codes: 1.01, 2.03, 3.02, 8.01, 9.01
LLM model:  deepseek-v4.1-flash:cloud@v2

Flex sells $2B Axiom convertible preferred to General Catalyst, Koch at $37.5B enterprise value
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- General Catalyst (GC Venture XIII), Koch Equity Development and co-investors to buy 200,000 Series A Convertible Preferred shares of Axiom at $10,000/share, $2.0B total.
- Investment implies an initial enterprise value for Axiom of $37.5B; preferred pays 10.0% cash dividend pre-separation, stepping to 6.0% cash or 7.0% PIK after.
- If the Spin-Off is not completed by Dec 31, 2027, Axiom must redeem shares at 115% of purchase price in cash or 125% in Flex shares; unpaid amounts accrue 12% interest.
- Net proceeds fund part of Flex's pending EPC Power acquisition (announced Sept 3, 2026, expected to close Q4 2026); Flex secured committed term loan for the balance.
- Spin-Off of the Cloud and Power Infrastructure segment into Axiom expected Q1 calendar 2027; General Catalyst gets the right to nominate one Axiom director after separation.

Source:
  EDGAR index:    https://www.sec.gov/Archives/edgar/data/866374/000119312526413173/0001193125-26-413173-index.htm
  Primary doc:    https://www.sec.gov/Archives/edgar/data/866374/000119312526413173/d123485d8k.htm
  HTML page:      https://secwatch.observer/filing/0001193125-26-413173

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