Yahoo! Japan drops plans to acquire eAccess

19 May 2014

Broadband provider Yahoo! Japan Corp, a subsidiary of telecoms giant Softbank Corp, has dropped its plans to acquire domestic telecoms provider and fellow Softbank Corp subsidiary eAccess; the move was meant to reorganise Softbank’s group assets and create a new mobile internet service, tentatively called Y!mobile. According to a company press release, Softbank Corp has decided that Yahoo! Japan will instead provide services via eAccess, which will remain as a separate company tasked with operating the network infrastructure. Further, eAccess will proceed with its planned absorption merger deal with PHS operator Willcom, currently scheduled for 1 June 2014.

As previously reported by TeleGeography’s CommsUpdate, in March 2014 Yahoo! Japan agreed to purchase 99.68% of the capital and 33.29% of the voting shares of eAccess, for JPY324 billion (USD3.17 billion). The deal was conditional on the planned merger between eAccess and Willcom going through; in December 2013 the two operators signed a Memorandum of Understanding (MoU) to merge their operations, in order to better utilise their business resources. The enlarged company, which will operate under the eAccess banner, will serve more than ten million subscribers, including 4.4 million eAccess customers and 5.7 million subscribers to Willcom’s services.