KDDI To Buy 50% Stake In Lawson

Japanese telecom operator KDDI Corp. has announced that it plans to acquire a 50% stake in convenience store operator Lawson Inc., taking it private with trading house Mitsubishi Corp., which owns the other 50%, as reported by Mainichi Japan.

KDDI intends to leverage Lawson's approximately 14,600 stores nationwide to promote its banking and insurance products. I Photo: shibainu Flickr

The telecom company plans to launch a tender offer worth around 500 billion yen ($3.4 billion) around April to purchase shares from general shareholders at 10,360 yen each, with the process expected to be completed around September.

The move comes as KDDI, which currently has a 2.1% stake in Lawson, seeks to strengthen its consumer-oriented business outside the telecommunications industry by utilizing the purchasing data of convenience store customers for its financial and other services.

KDDI intends to leverage Lawson's approximately 14,600 stores nationwide to promote its banking and insurance products, a business area it has focused on in recent years amid intensifying competition in the mobile phone industry.

The telecom carrier also envisions providing smartphone support services remotely at the stores and is considering offering Lawson's products and services at its approximately 2,200 "au" mobile phone outlets nationwide.

Lawson will implement KDDI's technologies to improve the efficiency of its distribution network and strengthen its store functions during disasters.

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