Mergers and acquisitions are among the most effective ways to expedite the implementation of a plan to grow rapidly. Companies in all industries have grown at lightning speed, in part because of an aggressive merger and acquisition strategy. The impact of technology and the Internet has only further increased the pace and size of deals. Buyers of all shapes and sizes have many of the same strategic objectives—to build long-term shareholder value and take advantage of the synergies that the combined firms will create—but each industry has its own specific objectives.
Technology companies, in search of new ideas, new products, trained knowledge workers, strategic relationships and additional market share, have been the most acquisitive. Deals in the pharmaceutical industry are driven by the need to put more products into development pipelines and achieve certain economies of scale in combining research and development efforts. Defense industry mergers have been driven by shrinking federal budgets and the need to win private-sector. Deregulation in the energy and financial services industries have just begun to spawn deals driven by the ability to offer a more diversified range of services.
Merger-and-acquisition frenzy has created intense competition for the same target companies, where a premium is placed on price and speed. The fear in many boardrooms is that the company will be left out or left behind if it doesn't move quickly to acquire other businesses. Deals that used to take months to get done now close in a matter of days, especially if no regulatory approvals need to be obtained and no shareholder battles will take place as a condition for getting the deal completed. In this environment, acquisitions are moving so fast and are being bid up so high that the likelihood of problems and errors has increased dramatically.
Affinity offers a full range of merger and acquisition services to primarily middle-market companies, both public and private, in Japan. and around the globe. Our team handles transactions of all sizes and complexity, from small, routine deals to large, multinational business combinations across an array of industries. We represent buyers, sellers, investors, stockholder groups, boards of directors, special committees and financial advisers in structuring, negotiating, documenting and consummating a variety of mergers, acquisitions, and other investments and dispositions worldwide.
Making a transaction to this process initially presents considerable challenges to any type of company. We are your dependable partner in achieving proficient results.