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After the acquisition, DigitalBridge will take the company private
US investment company DigitalBridge has made an offer to acquire Japanese infrastructure firm JTower, in a deal worth JPY93 billion ($631.2 million) according to a Bloomberg report.
JTower’s board of directors has endorsed the offer, recognising the growing need for advanced telecom infrastructure as Japan prepares for further 5G and 6G technologies. The partnership with DigitalBridge is expected to provide JTower with the financial resources necessary for long-term investments and expansion, particularly in its core areas of indoor infrastructure sharing and tower operations. JTower is currently one of the largest shared infrastructure companies in Japan, owning 7,700 towers in both suburban and rural areas.
“JTower’s founder and president, Atsushi Tanaka, as well as Nippon Telegraph & Telephone Corp. (NTT) and its mobile unit will tender their combined stake of roughly 26% to the take-private deal at ¥3,600 ($24.45) per share, according to an exchange filing. The offer runs from Thursday to Oct. 10,” confirmed the Bloomgerg report.
Japan’s telecom industry faces increasing pressure to expand coverage across diverse areas, including remote and disaster-prone regions. DigitalBridge’s involvement is seen as a strategic step to address these challenges, as the firm brings extensive experience in digital infrastructure, managing $84.5 billion in assets globally. The partnership is aimed at ensuring JTower can respond to the evolving needs of the industry by enabling the company to make necessary upfront investments for future growth.
After the acquisition, JTower will keep its current management structure and continue its partnerships with major telecom companies like NTT, Docomo and KDDI.
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