Corning Shares Erupt On Nvidia Deal To Supercharge Fiber Optics Output By 10x
U.S.-based glass company Corning soared in premarket trading in New York after announcing a new mega deal with Nvidia to expand manufacturing capacity for fiber optic production used in AI data centers. “Corning will increase its U.S.-based optical connectivity manufacturing capacity by 10x and expand its U.S. fiber production capacity by more than 50% to meet the accelerating demand driven by AI factory buildouts,” Nvidia wrote in a press release. The expansion includes three new manufacturing plants in North Carolina and Texas and is expected to create more than 3,000 high-paying U.S. jobs. In a filing, Corning disclosed that Nvidia is making a $500 million equity-linked investment. Under the deal, Corning issued Nvidia two warrants: Traditional warrant: Nvidia can buy up to 15 million Corning shares at $180 per share. Pre-funded warrant: Nvidia can buy up to 3 million Corning shares at a nominal exercise price of $0.0001 per share. Both warrants are exercisable immediately and expire within three years, unless earlier triggered by the termination of the partnership agreement or a major M&A transaction. …









