Dong Liang Co., Ltd.
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Opportunities in the Japanese M&A Market

Market Opportunities in Japan
Window of Opportunity for Yen Depreciation

With the yen trading at historic lows, overseas investors can acquire Japanesetarget assets at reduced costs, unlocking compelling investment opportunities.


Investment Advantages Acquire Japanese assets of comparable value with lower capital outlay denominated in USD, EUR or RMB

Growing Interest from Overseas Investors

In 2023, inbound cross-border M&A transaction value for Japan more than tripled to USD 30 billion, reflecting surging overseas investor appetite for Japanese assets.


Market Trends Cross-border M&A involving Japanese corporates is set to persist, bringing fresh momentum to the market.

Surge in Succession Needs Among Small and Medium-Sized Enterprises

Of Japan’s 3.4 million SMEs, over one-third are run by owners aged above 60 without family successors, triggering widespread business succession challenges. More than half of these businesses are operationally profitable, representing a large pool of attractive investment targets.

Total number of small and medium-sized enterprises in japan

M&A Market Forecast J.P. Morgan projects that by 2033, total M&A deal value for Japanese SMEs will surpass JPY 500 billion, with annual deal volume climbing from 4,000 to close to 10,000.

3.4 million

Total number of small and medium-sized enterprises in japan

33%+

The person in charge is over 60 years old

50%+

Profitable

An Ideal Window of Opportunity for M&A Transactions in the Japanese Domestic Market
Yen depreciation paired with corporate succession needs creates a once-in-a-generation investment window.
Trend-Driven Opportunities
Driven by Japanese corporates’ global-expansion ambitions and domestic-market restructuring needs
Structural Opportunities
Technology upgrades and industry consolidation to unlock growth for portfolio companies
Growth Opportunities