KDDI has Signed a Definitive Agreement of Purchase and Sale to Acquire Assets from Allied Properties REIT to Expand the Company's Data Center Business in Canada
KDDI Hong Kong Limited July 03, 2023
Establishment of new company "KDDI Canada, Inc." to further strengthen its DX domain
On June 21, 2023, KDDI announced that it had signed a definitive Agreement of Purchase and Sale with Allied Properties REIT (Headquarters: Toronto, Canada, CEO: CECILIA WILIAMS) to acquire its data center business for CAD 1.35 billion. KDDI established a new subsidiary "KDDI Canada, Inc." in Canada on June 26, 2023.
KDDI has been promoting "Sustainability Management" by implementing its "Satellite Growth Strategy" to increase corporate value and a cycle of sustainable growth in society. As one of the focused areas of the growth strategy, KDDI has been expanding its DX domain. With the data center business being one of the core parts of DX, KDDI aims to expand interconnection data centers (hereinafter referred to as "interconnection DC") as places where customers such as content providers, cloud service providers, and telecommunication carriers connect with each other and create new value.
In addition to "Telehouse London," which has the world's largest number of connections , and "Telehouse Paris, which has the largest number in France , KDDI also established a new data center in Bangkok, Thailand in May 2023, expanding not only in Europe, but also in Southeast Asia. Through this agreement, the company acquired Canada's top  interconnection DC and strengthen its data center business in North America to promote its business on a global scale.
- *1The number of customer interconnections in a data center. As of June 21, 2023. Source: PeeringDB
Background and Aims
The global data business is accelerating and the need for data centers is increasing. With the spread of IoT and 5G, traffic by users who use apps and view content on mobile devices is increasing. As a result, interconnection DCs, which enable content providers, Internet operators, hyperscalers, etc. to interconnect within the data centers and create value, are becoming increasingly important for realizing a digital society.
As a platform for society, KDDI will accelerate its business centered on high-quality interconnection DCs, which are the easiest to interconnect, and contribute to the expansion of global business for corporate customers and the prosperity of the digital world.
|(1) Name||KDDI Canada, Inc.|
|(2) Location||Toronto, Canada|
|(3) Business Description||Data Center Business|
|(4) Capital||CAD 1,100 million|
|(5) Date of Establishment||June 26, 2023|
|(6) Major Shareholders and their Shareholding Ratio||KDDI 100%|
- *The information contained in the news releases is current at the time of publication. Products, service fees,service content and specifications, contact information, and other details are subject to change without notice.