Quanta Computer seeks $2.2B in GDS sale as AI server demand soars

NVIDIA partner Quanta Computer launched a $2.19 billion global depositary share (GDS) offering, potentially the largest Taiwanese equity sale in 19 years. The company is offering 49 million securities priced at $43.91–$44.77 each, a 6–7.8% discount to its closing price in Taipei. Proceeds will fund raw material purchases in foreign currencies to support capacity expansion.

Quanta's Q1 2026 revenue hit NT$809.2 billion (∼$25B USD), a 66.6% year-over-year surge, with AI servers now representing over 75% of total server revenue and 80% of consolidated revenue. However, gross margin compressed to 4.78% from 7.92% YoY, driven largely by product mix shifts toward NVIDIA's GB300 servers and pre-production costs for next-generation platforms. The company plans to roughly double AI server capacity by end-2026, with manufacturing expansion in Thailand and the United States.

The offering launched into a steep AI selloff that pushed Taiwan's Taiex down 3.76% Wednesday and tested investor conviction on AI infrastructure returns. S&P Global projects Quanta's AI server revenue will surge 132% YoY in 2026, with total company revenue reaching ∼NT$3.7 trillion ($114B USD). The deal is managed by Citigroup and UBS, with a 90-day lockup on company shares and insiders.

For architects, this signals the scale of ODM capacity buildout backing hyperscaler demand—and the margin pressure inherent in rapid platform transitions from GB300 to next-gen architectures. Watch Quanta's utilization rates as a barometer of cloud capex appetite.