The global pandemic has forced many in Asia to take decisive action with their business portfolios. Subsequently, we have not only seen a wave of disposals, but a determined approach to overseas acquisitions from Asian investors.
DC Advisory's dedicated Asia Access team discusses in this first ‘Asia Access Quarterly’: Asian outbound investment appetite; emerging trends; and the outlook for Asian investment activity in the next quarter.
This edition will focus on:
- Asia's return to outbound M&A - sector by sector breakdown
- Why structural changes taking place in Japan and China mean more opportunities for the Western business owners
- The impact of Covid-19 on Asian businesses vs the West
In this climate, an increasing number of private equity investors in the US and Europe are seeking ways to exit their portfolio assets - driven by the continued uncertainty of the Covid-19 outlook, as well as their own trading uncertainties, or possible near-term changes in local tax or trade regimes.
These private equity firms are looking for buyers who can deliver a bilateral deal with high certainty - and who appreciate the long-term value of a target business based on 'EBITDAC’ (‘C’ stands for Covid-19) – and could benefit from the focus of Asian investors. In certain sectors, engaging early and proactively with Asian strategic and financial investors may provide answers.