NTT Launches $21B Bid to Absorb NTT Data Group

Nippon Telegraph and Telephone Corp. (NTT) has announced a tender offer valued at ¥2–3 trillion (approximately $14–21 billion) to acquire all remaining shares of its subsidiary, NTT Data Group, aiming to make it a wholly owned entity and delist it. NTT currently owns about 58% of NTT Data Group, which operates over 150 data centers in 20 countries and is a leading Japanese IT services provider. The offer represents a 30–40% premium on recent share prices and is intended to streamline decision-making, accelerate growth in AI and IT services, and support global expansion. The move follows recommendations from the Tokyo Stock Exchange to better protect minority shareholders and aligns with a broader trend of Japanese parent companies absorbing listed subsidiaries. With NTT Data’s integration, artificial intelligence is expected to become central to the conglomerate’s operations. This will be NTT’s largest deal since its 2020 acquisition of NTT Docomo, reflecting the company’s strategic shift toward IT and AI infrastructure.