Fujitsu has a yen for 'large-scale' acquisitions and billions of yen to fund them
Digital transformation is still a thing and Japanese giant wants to buy anyone that can do it
Japanese tech giant Fujitsu has revealed a plan to spend hundreds of millions of dollars on acquisitions.
The conglomerate's chief financial officer Takeshi Isobe told Japan's Nikkei that Fujitsu "will engage in mergers and acquisitions in the lower tens of billions of yen range." Ten billion yen is around $75 million.
Isobe added that Fujitsu will also consider "large-scale targets" likely to require investments "in the high tens of billions of yen."
Do the math: an eighty or ninety billion yen acquisition would see Fujitsu spend north of $600 million.
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The Register asked Fujitsu what sort of business represents a likely acquisition target.
A spokesperson responded that it is looking for acquisitions that achieve one or more of the following objectives:
- Accelerating the transformation of Fujitsu's traditional core modernization services and/or and enhance its portfolio of new solutions;
- Improving the firm's capabilities in the key areas of computing, networks, AI, data & security, and converging technologies;
- Further accelerating digital transformation capabilities;
- Improving capabilities in emerging fields such as quantum computing software or blockchain technology.
The company also told us that it's open to purchases almost anywhere.
"We consider targets globally," the spokesperson told The Register. "Following several acquisitions in Japan and Oceania in the past few years, we will further pursue opportunities across globe, not only in Japan and Oceania, but also in Europe, Asia and North America where the Fujitsu Group operates."
The spokesperson also pointed us towards recent Fujitsu acquisitions such as the 2022 transactions to purchase New Zealand-based infosec firm InPhySec and Australian ServiceNow consultancy Enable Professional Services. In 2021 it acquired another Australian concern – data analytics specialist management consultancy Versor.
Those buys, we were told, demonstrate the kind of purchases Fujitsu will again consider.
None, however, appear to have reached the "high tens of billions of yen" that Isobe mentioned. So perhaps those larger buys will feature better-known names. ®