internet Japanese investments in EU M&A

NTT Communications reportedly in talks to acquire German data center operator e-shelter facility services GmbH

NTT Communications to continue global expansion

e-shelter offers about 90,000 square meters of data center space in 9 locations

NTT Communications is reported by Nikkei to be in negotiations to acquire Frankfurt based e-shelter facility services GmbH for approximately YEN 100 billion (US$ 840 million).

NTT Communications acquisition is driven by the need to grow outside of Japan, and by the need to offer global services.

e-shelter facility services GmbH

e-shelter facility services GmbH was founded in 2000, and offers 90,000 square meters of data center space in 9 locations across Germany, Switzerland and Austria.

e-shelter data centers

NTT Communications

NTT Communications was created with the privatization of NTT, which is formerly was Japan’s domestic monopoly telecommunications operator (KDD was had the monopoly for overseas telecommunications from Japan).

NTT Communications started globalization with the acquisition of US internet access, hosting and service provider VERIO for a approximately US$ 5.5 billion, announced on May 8, 2000.

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IT Japanese investments in EU M&A

Arkadin’s [enjoy sharing] 91.2% AXA stake to be sold to NTT Communications

Arkadin International SAS valued at approx. US$ 463 million

Collaboration-as-a-Service (CaaS)

On August 5, 2013, NTT Communications (NTT Com) announced that it will acquire 91.2% of the shares of the French conference and collaboration specialist Arkadin International SAS from current investors AXA Private Equity (now: Ardian Investment) and other investors.

The valuation is estimated at approximately US$ 463 million.

After the sale of 91.2% to NTT Communications, ownership will be as follows:

  • 91.2% NTT Communications
  • 8.8% management

Arkadin International SAS [enjoy sharing] – Collaboration-as-a-Service (CaaS)

Arkadin International SAS is one of the world’s largest providers of audio, web, video conferencing and unified communications services.

The company was founded in 2001 by Olivier de Puymorin, and today serves about 37,000 customers in 32 countries.

NTT Communications Corporation (エヌ・ティ・ティ・コミュニケーションズ株式会社)

NTT Communications Corporation (エヌ・ティ・ティ・コミュニケーションズ株式会社) is a fully owned subsidiary of NTT Corporation, Japan’s incumbent telecommunications group.

NTT Communications offers a wide range of data services, data centers, global communications services both in Japan and globally. Main data are:

  • 8000 employees
  • revenues: 981 billion yen (US$ 8 billion)

For a comprehensive analysis of Japan’s telecom industry sector see our Report on Japan’s telecommunications industry.

Copyright·©2013-2015 ·Eurotechnology Japan KK·All Rights Reserved·

Japanese investments in EU

Cirquent becomes subsidiary of NTT DATA

NTT Data and BMW agreed today, that NTT Data will acquire 72.9% of outstanding shares of Cirquent GmbH

NTT Data thus gains BMW as largest customer in Europe

Today, August 1, 2008, NTT Data and BMW agreed, that NTT Data will acquire 72.9% of the outstanding shares of Cirquent GmbH in order to globalize.

Cirquent was part of the BMW Group, and is Germany’s 7th biggest system integrator

Between 1992-2008 Cirquent was part of the BMW Group. Cirquent is No. 7 in the Luenendonk ranking of German system integrators. Among Cirquent customers are BMW, Deutsche Boerse, Muenchner Rueck (reinsurer), and T-Mobile Germany. Cirquent has about 1800 employees and achieved sales of EURO 286 Million in 2007.

Cirquent share ownership ratios after this acquisition:

  • 72.9% NTT Data
  • 25.1% BMW AG
  • 2% Cirquent GmbH employees

After this acquisition, BMW becomes NTT Data’s largest customer in Europe. We consider this acquisition an excellent move by NTT Data, NTT Data acquired Germany’s 7th largest system integrator, including about 1000 highly qualified employees, and at the same time also gained BMW as largest customer in Europe, together with a number of other blue chip customers such as Deutsche Boerse, Muencher Rueck and T-Mobile Germany.

Read more about Japan’s telecom sector in our J-COMM report.

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