Thrive
Jabil to acquire Hanley Energy Group
The deal is projected to close next year.
Jabil is making a long-term bet on the data center infrastructure market.
The St. Petersburg-based manufacturing company recently signed a definitive agreement to acquire Hanley Energy Group, a provider of energy management and critical power solutions. This deal joins other recent initiatives to increase Jabil’s presence in the industry.
Data centers refer to the facilities that house information technology infrastructure, such as computer systems to power a company’s services or platforms like artificial intelligence.
“This is a big growth area for a lot of our direct customers,” said Ed Bailey, Jabil senior vice president and chief technology officer for intelligent infrastructure. “We have traditionally played in the industrial space, so it’s a real natural fit for Jabil at the end of the day to continue building power infrastructure.”
Within the data center market, Jabil provides customers with integrated rack-level systems, which combine networking, power and cooling solutions.
Hanley, which is based in Ireland and Virginia, has experience developing products such as low and medium voltage switch gear, uninterruptible power supply systems and remote power panels.
In June, Jabil announced plans to build a $500 million manufacturing facility in Rowan County, North Carolina to support its cloud and AI data center infrastructure business.
In October 2024, Jabil acquired Mikros Technologies, which manufactures liquid cooling solutions. This technology increases performance and reduces energy consumption.
Bailey believes that data centers are gaining more interest partially due to the rise of artificial intelligence. “The continued adoption and expansion of use cases for AI is going to continue to evolve,” he said.
He added that Jabil is looking to leverage AI as well. This will help the organization augment supply chain efficiency, manufacturing capability and design and engineering capability.
The all-cash acquisition of Hanley will cost approximately $725 million, with a contingent consideration up to $58 million dependent on future revenue. It is expected to close in the first quarter of next year.
“For us, our strategy is founded in capability – which we’ve built organically and now we’re also adding and supplementing through acquisition,” Bailey explained. “It allows us to leverage our global capacity to bring that value to customers where they need it.”
