1888PressRelease – Axia Consultants, the financial services company based in Tokyo, earlier this year radically overhauled its corporate Mergers and Acquisitions department. The improvements are paying dividends with business up 35% over the same period last year.
Demand for corporate mergers and acquisitions in Asia has been growing dramatically year on year since the end of 2012 with the bulk of this increased demand originating in Japan and China. Last year saw this demand set new records in terms of both mergers and acquisitions by Japanese companies. The wave of activity, highlighted by the US$16 billion acquisition of Jim Beam by the beverage giant and distiller Suntory, the US$21 billion acquisition of Sprint by Softbank and the merger of Tokyo Electron and Applied Materials valued at US$29 billion.
“The three examples, are of course highly notable given their financial scale, but it’s the fact this activity has been an across the board phenomenon that makes it far more interesting. Less well known SME’s in Japan have been responding to contractions in market size by their increasingly frequent use of mergers and acquisitions, to both regain and expand their domestic market share, while others have began utilizing lateral mergers with Western companies to tap into faster growing industry sectors,” observed Mr. Hideo Oshogi, Business Development Officer for Axia Consultants.
Overall, the financial community is highly optimistic about the market in 2015, for continued M&A arrangements, with these being spread evenly across nearly every sector and resource, with a strong focus on businesses dealing with agribusiness as well as financial and property services. Analysts have recorded transactions for the year to date, with combined values of US$13.9 billion, nearly double that for the same period last year. This spike in demand which has not slowed in its growth rate since 2013 is forecast to continue well into 2016 and beyond.
“By no means does our increased focus on corporate restructuring and merger and acquisition arrangements mean that we are looking to move away from any of our other well established client services, they are still very much in demand from both domestic and international clients. We are, at this time, working to release a detailed publication outlining the range of mergers and acquisitions services that we offer and their benefits which will be aimed at our corporate clients in the SME bracket, which is the group with the most to gain from such arrangements,” closed Mr. Hideo Oshogi of Axia Consultants.