The deal will see Telehouse acquire three data centers and associated assets in Toronto, Canada for approximately CA$1.35 billion ($1 billion).
The news is a result of increased demand for interconnectivity services and provides for KDDI to form a new legal entity, KDDI Canada, Inc.
“This is another milestone for KDDI and an exciting investment that will enhance connectivity capabilities for Canadian businesses,” said Yasuaki Kuwahara, Board Member, Senior Managing Executive Officer and Head of Business Solutions at KDDI.
“As many North American companies accelerate their digital transformation and innovation initiatives, we are excited to contribute to their success by providing reliable, scalable, flexible and secure services to modernize and future-proof IT environments.”
With this latest acquisition, Telehouse expands its data center footprint to 12 countries. The new carrier-neutral facilities are located in downtown Toronto and will provide over 30 MW of IT load when fully operational.
Businesses looking to connect from the new locations will also gain access to a range of connectivity partners including carriers, internet service providers, application service providers, and private and public cloud service providers to extend network reach, reduce latency and costs, and improve performance .
“With the ability to operate global data centers, KDDI is an ideal successor owner for our data center facilities. Canadian cities continue to grow dramatically and successfully,” said Michael Emory, founder and CEO of Allied Properties REIT.
“Growth will be driven in large part by knowledge-based organizations that require sophisticated and far-reaching connectivity solutions. KDDI is uniquely positioned to deliver these solutions, making a meaningful contribution to the many and diverse businesses in our cities.”
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