CVC invests in Japanese enterprise services specialist Arteria Networks and becomes a partner to Marubeni in the Asia-Pacific telecoms sector.

November 28, 2014

2 Min Read

TOKYO -- Funds advised by CVC Capital Partners ("CVC") have agreed to invest about $150 million for an approximately 50% interest in Arteria Networks, a leading telecommunications carrier in Japan focused on enterprise customers. This investment also highlights a partnership with Marubeni in the Asian telecommunications sector through a joint ownership in Arteria Networks.

Arteria, a key operating subsidiary within Marubeni's ICT Division, is a leading provider of broadband connectivity and network solutions in Japan. It is one of only four operators in the country with a nationwide fibre network infrastructure. Arteria provides one-stop information and communication services including: internet connection; leased circuit; IP-VPN; data centre; and related solutions. The company holds market leading positions with medium to large sized corporations, as well as condominium buildings in Japan.

Telecommunications is a focus sector for CVC, and this is the third investment in the Asian broadband segment for the CVC funds following investments in Hong Kong Broadband Network, the second largest broadband operator in Hong Kong, and PT Link Net, the largest broadband and cable network operator in Indonesia.

Hikaru Minami, Managing Executive Officer at Marubeni said, "There are many areas of potential synergies with CVC's telecom assets which we would look to pursue in order to accelerate Arteria's Asian expansion." Daisuke Arita, Representative Director at Arteria said, "We are very excited to welcome a new shareholder with deep understanding and experience in the telecommunications sector."

Roy Kuan, a Managing Partner at CVC commented, "We are pleased to be partnering with Marubeni, one of the most prestigious Japanese conglomerates, and investing in Arteria which is a successful, growing and market leading business." Norimitsu Niwa, Managing Director in Japan at CVC, said, "We see significant growth potential in the B2B segment and Arteria is best positioned to capture this growth."

CVC was advised by Sangyo Sosei Advisory, Bank of America Merrill Lynch, Roland Berger, Alix Partners, Clifford Chance and PwC.

CVC Capital Partners

Read more about:

Asia
Subscribe and receive the latest news from the industry.
Join 62,000+ members. Yes it's completely free.

You May Also Like