The increase in corporate mergers and acquisitions (M&A) in the Asia-Pacific region in the first quarter of this year has surpassed that of the United States and Europe.
Image related to the merger and acquisition between Seven & I Holdings, the parent company of the convenience store brand 'Seven-Eleven' in Japan, and the Canadian company ACT (Alimentation Couche-Tard). Photo by Reuters Yonhap News.
On the 1st (local time), Bloomberg reported that the scale of M&A in the Asia-Pacific region in the first quarter of this year increased by 19% compared to the same period last year, surpassing the United States (13%). During this period, M&A in Europe decreased by about 14%.
Bloomberg explained that this was contributed by ongoing cases such as Hong Kong's CK Hutchison's sale of the Panama port and the sale of Japan's Seven & I Holdings, the holding company of convenience store operator Seven-Eleven.
Raghav Maria, Global Vice Chairman of Investment Banking at Goldman Sachs, said, "Asian companies and investors are engaging in M&A more actively than in the past three years," citing corporate governance reforms in countries like Korea and Japan as factors brightening the outlook.
Samson Lo, Co-Head of Asia-Pacific M&A at UBS Group, evaluated, "There is more enthusiasm for M&A in the Asia-Pacific region, especially in China," adding, "Companies and investors are under increasing pressure to inject capital and recover some of their investments."
Bloomberg particularly noted the potential for companies in Hong Kong and India to engage in M&A and capital raising. However, market volatility and geopolitical uncertainties caused by the tariff policies of the Donald Trump administration are considered burdensome factors. Richard Wong of Morgan Stanley said, "Companies are still assessing the impact of new policies such as tariffs, so it is taking longer to finalize deals," but added, "There is definitely some positive momentum. The question is how much of that translates into announced deals."
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