Intrans, the real-estate and hotel operator, is trying to build a new revenue line in AI infrastructure after four consecutive years of net losses. The company said it will start an AI data-center business under a capital and business alliance with DSG, with phase one focused on procuring and selling GPU servers in Japan. It is also setting up an AI data-center division, led by the chief executive, while transactions under the alliance are due to run through DSG subsidiary Digital Dynamic. DSG is also due to provide one or two staff to support the effort.
Phase one is concrete, later phases are still a plan
The filing is most solid on the first step. Intrans says the GPU procurement and sales phase will run from July 2026 to June 2029. A second phase, from October 2026, would move into joint development and operation of AI data centers, but the company says that leg would use investor money rather than its own cash. A third phase, attracting overseas AI operators to Japan from June 2027 onward, depends on earlier progress and is not part of the current alliance terms.
Funding is being stacked from several places, not one clean cheque. Intrans says it will use ¥511mn already raised in February for GPU-server procurement and prepayments in phase one, then add a new unsecured convertible bond to DSG, performance-linked warrants for DSG and a separate paid stock-option issue for directors and employees.
| Instrument | Size | Price or test | Main use or condition |
|---|---|---|---|
| Prior February financing earmarked for phase one | ¥511mn | n/a | GPU-server procurement and prepayments |
| 3rd unsecured convertible bond to DSG | ¥300mn | Conversion price ¥130 | Credit support for DSG-group transactions, inventory if needed, no interest, maturity Jul. 9 2029 |
| 11th warrants to DSG | ¥422.2mn total | Exercise price ¥90, plus GPU sales and 3% profit-share tests | Funds tied to DSG-assisted GPU-server sales expansion |
| 12th paid stock options | ¥178.5mn total | Exercise price ¥96, forced-exercise trigger at ¥57.6 | Working capital and liquidity through Jun. 2029 |
The money comes with strings
Most of the fresh cash is conditional. DSG's warrants can be exercised only if DSG-assisted GPU-server handling amounts hit stepped thresholds, starting at ¥750mn over three months and rising to ¥6bn over 12 months, and only if Intrans's profit share on that business is at least 3 per cent. The ¥300mn convertible bond is also part risk control: Intrans says it can buy back and set off the bonds if DSG or its group defaults under procurement agreements.
The internal stock options are more about liquidity than AI expansion. They could raise ¥178.5mn for working capital and liquidity needs through June 2029, with potential dilution of 3.97 per cent if fully allotted and exercised. Those options also carry a forced-exercise trigger if the 21-business-day average share price falls below ¥57.6, and holders cannot simply abandon the options to avoid that obligation.
That matters because the starting point is weak. Intrans said revenue in the year to March 2026 rose 30.1 per cent to ¥1.07bn, but it still booked an operating loss of ¥417.1mn and a net loss of ¥501.4mn, extending four straight years of losses. Management says the new business is already reflected in its outlook for the current year. The filing also says later-phase partners will be disclosed when fixed, which leaves the current announcement long on structure and shorter on executed business outside the first DSG alliance.