We are pleased to present the presentation part of our representative partner Takashi Kusumoto from the webinar "Outlook for Southeast Asian Business in 2021 -
Business Opportunities through Overseas M&A and Joint Ventures," held on
December 17, 2020, hosted by our company. Below is the summary:
What's happening around the world right now? I want to convey to everyone that they should act as if "we are already in a depression." From now on, spend time with a managerial perspective, conduct a SWOT analysis of your company or department, perform due diligence, and take actions based on a clear understanding of the situation.
Even amid the COVID-19 pandemic, M&A deals are still active. If you remain idle, you will be left behind by the times.
So, what is important in overseas expansion? It is "Collaborating with local partners who leverage each other's strengths." We uphold this as the "formula for success" and have supported the overseas expansion of various companies, such as Nishimura & Asahi Law Office, Mitsubishi Estate, Nikkatsu Corporation & Nippon TV, and Konoike Transport.
There are many pitfalls when considering overseas expansion in ASEAN. First and foremost, keep in mind that good M&A deals won't just come to you. We actively initiate actions. If a target is identified, we approach directly; if not, we create long and short lists, meet thoroughly with owners, and start negotiations. If you want to acquire a good company, this "partner search project" is the only method. Other issues include not being able to determine the correct corporate value due to dual bookkeeping and compliance flaws due to poor internal controls. Textbook M&A approaches won't work. Even if the company is established, the journey to get the management on track is challenging. We support the entire process up to PMI (Post-Merger Integration).
Lastly, no matter how good a partner you have, you will inevitably face difficulties in overseas business. Recognize that overseas expansion is a "second founding." With ambition, determination, enthusiasm, and vigor, meet with local company owners and engage in M&A and joint ventures with this attitude. This is the mindset we want everyone to have.
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