AAOI filed an 8-K on April 7. They're buying two industrial properties in Pearland, Texas for roughly $58.4 million, about 388,000 square feet across 14621 Kirby Drive and 11555 North Spectrum Boulevard for office, warehouse, manufacturing, and assembly use. Closing is set for April 17, with AAOI able to accelerate if they want. Earnest deposit is $1.17 million due within three business days of signing.

So two months after breaking ground on a 210,000 sq. ft. greenfield in Sugar Land, where Thompson Lin floated pushing total investment from $150 million to potentially $300 million by end of next year, they're now picking up another 388,000 sq. ft. of existing space nearby. That's close to 600,000 sq. ft. of new domestic footprint in a very short window.

The Pearland properties are standing buildings though, not dirt. They could realistically have those online way before Sugar Land finishes construction. If you're trying to ramp toward 100,000+ units per month of 800G transceiver production and you've guided $1 billion in revenue for 2026, you need space now, not in 18 months. Pearland buys them that time.

Stock is up 4% Pre-Market. I might have sold them pre-maturely.

The link to the 8-K filing can be found here below: investors.ao-inc.com/no…