As globalization accelerates, stakeholder demands become more diverse and sophisticated, and capital markets undergo major changes, we offer support in formulating appropriate management and financial strategies, M&A support, PMI, revitalization support, building a business management foundation, and takeover defense.
In global capital markets, the rise of emerging countries (ASEAN, India, the Middle East, Africa, etc.) is driving increased capital inflows and a reassessment of global asset allocations. Furthermore, there is strong demand for capital for carbon neutrality, renewable energy, EVs, and CCUS from an ESG perspective.
In Japan’s capital markets, we are seeing improvements in corporate governance and capital efficiency (pressure on companies with a PBR below 1x on the Tokyo Stock Exchange, ROE improvement, share buybacks, dividend increases, Services divestitures, etc.), an increase in activist shareholders, and an expansion in proposals from domestic and international funds. TSE reforms are also moving into the next stage (further pressure on shareholder returns and capital efficiency, revisions to listing standards and stricter share tradability ratios, resolution of parent-subsidiary listing issues, and full compliance with international standards for ESG information disclosure (ISSB/TCFD)). This is expected to lead to a restructuring of the market. At the same time, companies are under increasing pressure to implement share buybacks, increase dividends, and revise their Services portfolios, making them acquisition targets, especially for companies with low ROE. Additionally, Japanese companies are increasingly restructuring and utilizing capital markets (accelerating M&A of mid-sized companies, Services succession, and the sale of non-core Serviceses), PE fund activity is intensifying, and MBO deals, including delisting, are on the rise. Startup fundraising is also picking up steam, and the IPO market is expected to become more active. While Japanese companies are accelerating their overseas expansion and investment, tourism and inbound tourism are growing, and the weak yen and recovery in demand for visits to Japan are rekindling investment and expansion into the Japanese market by foreign companies. Our corporate finance team addresses these complex and urgent challenges by providing comprehensive support, from formulating Services and financial strategies to providing concrete on-site support, thereby contributing to resolving clients’ issues and promoting growth.
