Establishment of a new company KDDI Canada, Inc. to further strengthen its DX domain
KDDI Corporation
June 21,2023
-- 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 plans to establish 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 worlds largest number of connections [
1], and Telehouse Paris, which has the largest number in France [
1], 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 will acquire Canadas top [
1] interconnection DC and strengthen its data center business in North America to promote its business on a global scale.
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.
Overview of KDDI Canada, Inc. (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 (Scheduled Date)
(6) Major Shareholders and their Shareholding Ratio KDDI 100%
[1]
The number of customer interconnections in a data center. As of June 21, 2023.
Source:
PeeringDB
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.
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Establishment of a new company KDDI Canada, Inc. to further strengthen its DX domain 
