IWG sells Japanese office business with an agreement of £ 320 million.
IWG, a provider of offices, signed an agreement with a company in Japan that it sells office business in the country. IWG’s goal is to provide more international partnerships.
IWG, formerly known as Regus, will sell its Japanese offices to the TKP listed in Tokyo for £ 320 million.
IWG boss Mark Dixon said the strategic partnership was part of the group’s increased focus on relationships with international partners.
WG boss Mark Dixon added The transaction realises an attractive valuation for IWG’s shareholders and re-affirms our strategy of capital efficient growth in IWG’s global network with an increased emphasis on partnerships.
He said: “Partnering and franchising are increasingly important elements of our growth strategy and TKP is an outstanding partner for IWG in Japan, with strong local expertise and leadership in adjacent markets and a complementary network of operations.
“The transaction realises an attractive valuation for IWG’s shareholders and re-affirms our strategy of capital efficient growth in IWG’s global network with an increased emphasis on partnerships.”
TKP has a location throughout Japan. TKP is the provider of conference rooms and banquet halls in the country.
In addition, IWG’s Japanese operations consist of 130 joint work centers.
As part of a broad franchise agreement, IWG will provide TKP with services such as access to the marketing and sales platform for a fee associated with revenue in Japan.
The sale is expected to be completed in May after necessary approvals are made.
Sevdenur Demir / [email protected]