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Harnessing Indonesia’s Geothermal Potential through M&A Investment

A key strategic thrust is renewable energy development, with a goal for renewables to contribute 75% of the country’s electricity capacity by 20401. Among these renewable resources, Indonesia’s geothermal potential stands out, with abundant resources located at 362 sites throughout Indonesia2. This potential is particularly promising for supporting the nation’s decarbonization goals, as geothermal energy offers a reliable and sustainable source of power.

This article will explore Indonesia’s geothermal potential, the challenges of greenfield development, opportunities for Mergers and Acquisitions (M&A) investment in the sector, and how IGPI can support private and public companies to capitalize on these opportunities.

Southeast Asia’s Geothermal Leaders: Indonesia’s Rise

Within ASEAN today, two countries lead in geothermal capacity: Indonesia and the Philippines. While both nations boast abundant potential, Indonesia’s geothermal potential has seen more rapid growth in this area over the last five years. However, despite this potential, the development of geothermal energy in Indonesia is fraught with significant challenges, especially during the exploration phase, which presents obstacles to sustained greenfield development.

Exploring Indonesia’s Geothermal Potential

In ASEAN, the total geothermal potential capacity amounts to 34 gigawatts (GW), concentrated primarily in Indonesia and the Philippines. Over the past five years, Indonesia has emerged as the leading developer of geothermal power in the region, achieving an annual growth rate of 4.6% compound annual growth rate (CAGR) from 2018 to 2023, while the Philippines has seen minimal growth at just 0.3% CAGR over the same period3.

As of 2023, Indonesia has installed about 2.28 GW of geothermal capacity, representing only around 8% of its total geothermal potential of 30 GW. According to the General Plan for National Energy (RUEN), Indonesia aims to achieve 7.24 gigawatts of geothermal power by 2025, requiring an investment of approximately US$15 billion, and to reach 9.3 gigawatts by 2035. This plan highlights significant opportunities for future development in Indonesia’s geothermal potential.

Challenges in Greenfield Geothermal Development in Indonesia

Yet, two key obstacles hinder the development of greenfield geothermal projects in the country: high exploration risks and challenges in securing licensing and land clearance.

1) High Exploration Risk
The primary challenge in developing new greenfield geothermal projects is the substantial risk associated with exploration, requiring substantial investments ranging from 3 to 5 million USD/MW4 and carrying considerable uncertainty in finding viable geothermal sources. The government has implemented measures to mitigate these risks, including support for drilling, soft loans, and exploration funding through initiatives such as the Geothermal Sector Infrastructure Financing Scheme (PISP) and Geothermal Resource Risk Mitigation (GREM)5. However, these incentives have seen limited uptake due to a combination of factors, including insufficient tariffs on electricity produced and high-interest rates that increase the required return on investment.

2) Challenges in Licensing and Land Clearance Procedures
Despite the government’s introduction of a one-stop licensing system and the designation of geothermal projects as National Strategic Projects (PSN), practical challenges remain. Exploration and subsequent development often overlap with, and potentially conflict with, other environmental legislation, such as protected land/forest areas. Deconstructing and organizing these policies will take time; until then, many exploration permits will require long waiting periods for approval or may fail after multiple rounds of submission and clearance.

Opportunities for Japanese Entities to Tap into the Potential of Geothermal Energy in Indonesia through Brownfield Investments

Given the challenges associated with greenfield projects, a brownfield approach—specifically via geothermal M&A—has become an attractive entry option for many developers and investors seeking to enter this sector. This strategy has particularly resonated with Japanese entities; to date, there are 7 Japanese entities involved in geothermal projects in Indonesia, with 5 of these entering via M&A. Between 2007 and 2023, there were approximately 15 M&A transactions in Indonesia’s geothermal industry6, 8 of which were executed by Japanese entities.

Among the 5 Japanese players in the market today, INPEX stands out. Since its entry in 2011, the company has primarily employed a brownfield strategy to rapidly expand its geothermal business in Indonesia. Through INPEX Geothermal Ltd., which primarily focuses on geothermal activities, the company has successfully completed four acquisitions7.

In 2015, INPEX made its inaugural brownfield investment by acquiring a 49% stake in Medco Power Indonesia, which in turn owns a 37.25% interest in the Sarulla Geothermal Project, joining a consortium that oversees one of the world’s largest single-contract geothermal power projects. To date, INPEX holds an 18% stake in the project.

In 2021, INPEX further expanded its portfolio by acquiring a 33.3% share from PT Supreme Energy Sumatera, which in turn owns a 30% interest in the Supreme Muara Laboh Geothermal Project, bringing the company’s ownership in this project to 10%. In 2022, INPEX further increased its stake from 10% to 30% by acquiring an additional 20% from another project shareholder, ENGIE SA. That same year, INPEX also completed an investment in the Supreme Energy Rantau Dedap Geothermal Project by acquiring a 27.4% stake from ENGIE SA.

Most recently, in 2023, INPEX joined the Supreme Energy Rajabasa Geothermal project in Lampung, acquiring a 31.45% stake from PT Supreme Energy Raja Basa. Through these strategic investments, INPEX is solidifying its position as a key player in Indonesia’s geothermal energy sector, contributing to the country’s efforts toward sustainable energy development.

Japanese entities have already begun their foray into the geothermal sector. The combination of a fragmented market landscape, characterized by numerous operating entities and relatively young geothermal facilities (with 60% being under 16 years old8), along with the apparent interest from local entities in seeking strategic partners to enhance technology and expand operations, highlights a market primed and ready for foreign private capital to spur growth.

How Can IGPI Support?

IGPI Singapore specializes in supporting clients with M&A projects, conducting market research, and developing market entry strategies, particularly within the renewable energy sector.

To address these challenges, IGPI offers comprehensive M&A assessment services, including (not limited to):
◆ Target Screening (Pre-Due Diligence): We conduct thorough primary research to identify potential investments and shortlist viable targets.
◆ Due Diligence: Our team performs detailed commercial due diligence to gain a deeper understanding of potential targets, covering market analysis, business models, synergies, investment risks, and more.

These solutions are tailored to empower clients to make informed decisions and navigate complexities in their investment initiatives, ensuring strategic and successful market entries.

To find out more about how IGPI can provide consulting support for businesses, browse through our insight articles or get in contact with us.

Data sources

1. Business Plan for Electricity Supply (RUPTL) PLN 2024-20
2. Center for Mineral, Coal, and Geothermal Resources (PSDMBP)
3. IRENA, Geothermal Energy Data
4. API – Indonesia Geothermal Association
5. API – Indonesia Geothermal Association, Webinar – Geothermal Added Value Creation Strategy as a Supportive Measure for NZE 2060
6. Merger Market
7. INPEX Corporation
8. Global Geothermal Tracker

About the author

Mr. Febrizal is the Associate of IGPI Singapore. Prior to joining IGPI, Febrizal worked at YCP Solidiance and PwC Indonesia, where he successfully completed a range of consulting projects, including market entry strategy, growth strategy, and business model identification, across diverse industries such as Agriculture, Automotive, and Industrial. He has extensive experience in M&A activities, including conducting commercial due diligence, valuations, and providing deal advisory services (connecting buy-side and sell-side). Febrizal holds a degree in Economics from Binus University.

 About IGPI

Industrial Growth Platform Inc. (IGPI) is a Japan-rooted premium management consulting & investment firm headquartered in Tokyo with offices in Osaka, Singapore, Hanoi, Shanghai & Melbourne. IGPI was established in 2007 by former members of Industrial Revitalization Corporation of Japan (IRCJ), a USD 100 billion sovereign wealth fund focusing on turnaround projects in Japan. IGPI has 13 institutional investors, including Nomura Holdings, SMBC, KDDI, Recruit & Sumitomo Corporation, to name a few. IGPI has vast experience supporting Fortune 500s, government. agencies, universities, SMEs, and funded startups across Asia and beyond for their strategic business needs and hands-on support across a wide variety of industries. IGPI group has approximately 7,500 employees on a consolidated basis.

* This material is intended merely for reference purposes based on our experience and is not intended to be comprehensive and does not constitute as advice. Information contained in this material has been obtained from sources believed to be reliable, but IGPI does not represent or warrant the quality, completeness and accuracy of such information. All rights reserved by IGPI.

M&A by Japanese companies in Singapore in 2023 quadrupled from 2022

In 2023, M&A by Japanese companies in Singapore reached USD 3 billion, four times the level of the previous year and the highest level since 2020. Specifically, various M&A deals of various sizes were announced in a wide range of industries, from Sumitomo Life Insurance making SingLife a subsidiary with an additional investment of approximately JPY 170 billion to Watami, a major restaurant company, acquiring an approximately 80% stake in a local food company and two affiliated companies for approximately JPY 1 billion.

Singapore is a bridgehead for business expansion in the region

One of the major reasons for Japanese companies to conduct M&A overseas is the expected contraction of the domestic market against the backdrop of a declining birthrate, aging population, and shrinking population. In particular, Singapore is positioned by many Japanese companies as a core market for their Asian strategies, and in fact, Singapore accounts for the largest share of M&A by Japanese companies in Southeast Asia, at 45% of all announced M&A in 2023. In addition, 99% of Singapore companies are SMEs with less than 200 employees or sales of less than SGD 100 million, and the number of companies considering sale due to lack of successors is expected to increase, which may also be a factor in the increase in M&A.

Addressing issues that arise prior to PMI

The success or failure of an M&A depends on the post-merger integration process, or PMI, between the two companies, and careful planning and execution are essential to realize the strategies and synergies that have been drawn. However, even at the stage of M&A closing, there are still some problems that may cause the M&A to be abandoned. In my experience, there have been cases where an overseas M&A that was being examined was scrapped due to a change in the director in charge of overseas operations, where the growth strategy after the deal was unclear and the M&A itself was close to the objective, and where a lack of communication skills, including language skills, caused anxiety in the target company.

Achieving successful M&A with IGPI’s support

IGPI Singapore provides assistance not only to Japanese companies but also to companies in Southeast Asian countries in developing overseas expansion and expansion strategies, as well as alliances with local partners in overseas markets. With an awareness of the issues mentioned above as a backdrop, we are committed to making M&A successful, while at the same time working closely with our clients to build relationships with the top management of the target companies. We would be happy to hear from you if you are considering M&A in the Southeast Asian region.

To find out more about how IGPI can provide consulting support for businesses, browse through our insight articles or get in contact with us.

About the author

Mr. Ryota Yamazaki is the Director of IGPI Singapore. Before joining IGPI, Ryota worked in Deloitte Consulting in Singapore, where he was a leader in the areas of Consumer Business and Supply Chain & Logistics in Southeast Asia. His areas of expertise are Strategy & Operations such as market entry, Route-to-Market (RTM) strategy, business due diligence, and PMI. He started his career with A.P. Moller-Maersk Group as a management trainee and also worked for Kurt Salmon, where he had vast project experiences especially in Supply Chain & Logistics for the retail and consumer goods clients. Ryota graduated from the Faculty of Economics at Keio University.

 About IGPI

Industrial Growth Platform Inc. (IGPI) is a premier Japanese business consulting firm with a presence and coverage across Asian markets. IGPI was established by former members of the Industrial Revitalization Corporation of Japan (IRCJ) in 2007. IRCJ, a US $100 billion Japanese sovereign wealth fund, is known as one of the most successful turn-around funds supported by the Japanese government.

In 2017, IGPI collaborated with the Japan Bank for International Cooperation (JBIC) to form JBIC IG, providing investment advisory services and supporting overseas investment. In 2019, JBIC, along with BaltCap, jointly established Nordic Ninja, a €100 million venture capital fund to focus on deep tech sectors such as autonomous mobility, digital health, AR/VR/MR, artificial intelligence, robotics and IoT in the Nordic and Baltic region. In 2019, IGPI established IGPI Technology to focus on the area of science and technology. The company invests in technological ventures and provides hands-on management support. The company also provides business development support towards commercialization and monetization of technologies.

* This material is intended merely for reference purposes based on our experience and is not intended to be comprehensive and does not constitute as advice. Information contained in this material has been obtained from sources believed to be reliable, but IGPI does not represent or warrant the quality, completeness and accuracy of such information. All rights reserved by IGPI.

Key Major Regulation Updates in Indonesia

Below are some of the selection of Indonesia’s key major regulation updates: * Note: Abbrev: PR – presidential regulation; GR – Government Regulation
Period of announcementKey regulations Issuer Summarised key content on the regulation
September 2022Personal Data Protection Law Bill (to be soon enacted as Law)House of representative – which will become Law once it is ratified by the PresidentThe Personal Data Protection (“PDP”) Law will be the first comprehensive law in Indonesia to govern personal data protection in both electronic systems and non-electronic systems.
September 2022Acceleration of Renewable Energy Development for Electric Supply (“PR 112/2022“)President of IndonesiaTo accelerate the usage of renewable energy as an energy source as well as reducing greenhouse gas emission (“GHG“). restriction of operational period for steam power plants, limitation of new steam power plants construction, obligation to use local components in order to implement Electric Supply Business Plan by PT Perusahaan Listrik Negara (“PLN“), pricing of electricity based on a renewable source, electricity procurement, and many other provisions.
October  2021Harmonisation of Tax Regulations (“Law 7/2021”)Government of Republic of IndonesiaSeveral tax provisions in Indonesia which had previously been regulated in separate regulations are now being amended simultaneously. Some of these regulations are Law on General Provisions and Tax Procedures (General Provisions of Taxation Law), Law on Income Tax (Income Tax Law), Law on Value Added Tax on Goods and Services and Sales Tax on Luxury Goods (VAT and Luxury Goods Sales Tax Law), Law on Excise (Excise Law), and other tax regulations issued during the Covid-19 Pandemic.
March 2021Risk-Based Business Licensing Concept as part of the implementation law of Omnibus Law (“GR 5/2021“) Government of Republic of IndonesiaBusiness licensing is the legality which is granted to business actors to start and run their business and/or business activities,1 and risk is the potential loss caused by hazards.2 Thus, risk-based business licensing is a business licence based on the risk level of such business (“Risk-Based Business Licensing”). The implementation of Risk-Based Business Licensing is aimed to improve the investment ecosystem and business activities, through4:  a. the implementation of the issuance of business licences is more effective and simpler; and b. transparency, structured, and accountable supervision of business activities in accordance with provisions of laws and regulations.
March 2021Investment Line of Business – as part of the implementation law under the Omnibus Law  (“PR 10/2021“)President of IndonesiaOffers ease of investment through amendment regarding the lists of lines of businesses that are open to investment, lines of business that are closed to investment, and lines of businesses that shall be carried out only by the central government
Source: Indonesia Government Officials (regulation database of Republic of Indonesia – JDIH BPK RI), SSEK, ARMA The recent enactment of Omnibus Law (Law No.11 of 2020 – regarding Job Creation), which has refreshed previously approved laws, alongside its implementation regulations, has brought about a fresh restart to the country’s business regime, including the easing off foreign investment restrictions in key industries such as retail, pharmaceutical and telecommunication and the introduction of risk-based business licensing, a major revamp from previously business-by-business licensing regime; all have resulted in reduction of red-tapes. However, investors still need to remain cautious, as Indonesia remains a complex business place to navigate. In the context of doing M&A in Indonesia specifically, we would like to suggest a framework that investors could apply (as shown in the figure below). The framework analyses the Indonesia M&A legal aspect by looking at regulations at different tiers (on a vertical axis) and regulations at an operational level (on a horizontal axis). In the context of Indonesia, the different tiers of regulations generally can include, in descending order, the governmental level, the ministerial/sectoral level (e.g. Financial Service Authority (also known as the Otoritas Jasa Keuangan or OJK) governs the financial institution and the Ministry of Energy and Minerals (also known as Kementerian Energi dan Sumber Daya Mineral or ESDM) governs the energy and mineral resources), and at the provincial level (i.e. within the province that the business is based). It is worth noting that at the ministerial level, we have divided this into two forms – sector-specific and function specific. The former is self-explanatory, whilst the latter plays a special role; the Ministry of Investment and its Investment Coordinating Board (also known as Badan Koordinasi Penanaman Modal or BKPM) will need to approve any shares acquisition of an Indonesian company by a foreign party. BKPM is the key ministry on risk-based business licensing by operating the online single submission system, which you will need to use when you apply for a licence. Also, any transfer of shares will need to be registered to the Ministry of Law and Human Rights, which oversees all registers pertaining to the limited liabilities companies. At each of these regulatory tiers, any regulation hurdles may provide significant risk to completing your M&A transaction, or even if completed, certain legal implications may ensue – hence, many times, these form the “conditions” to any M&A transactions you contemplate. Going through in descending order in terms of regulatory tiers and becoming familiar with the applicable rules and regulations on each is highly advisable. The horizontal axis represents the various regulations that will generally be applicable to various M&A transactions. These regulations, among others, include tax laws, labour laws, import/export laws, environmental laws and property laws. An oversight on any of these aspects of the law may not bar you from completing the M&A transaction, but may require some changes to your business operations or to a certain extent, may require you to pay fines for any oversights.

Indonesia M&A General Legal Analysis Framework

For example, say you, an overseas investor operating in the mining services business, are looking to acquire a coal mining Operating Company that also owns a coal mining licence in East Sumatera. This exercise itself can be quite broad and complex, but as a start, you have to look into the latest regulation aspects governing your acquisition – including whether the transaction is allowed under positive investment list and to also understand the various steps needed to complete your transaction, including having it approved by the Ministry of Law and Human Rights, the BKPM and if necessary the anti-trust regulatory commissioner (or also known as Komisi Pengawas Persaingan Usaha or KPPU). You will also need to understand the latest regulations governing coal mining operations and ownership as this is governed by the ESDM – specifically, there is a foreign ownership restriction on the company that owns the coal mining licence, and the need to follow rules on how to transfer such mining business licences in the event there is a change of ownership. At times, the government through ESDM may also issue temporary restrictions on certain business activities for example, on the export of coals, which happened in early 2022[2]. The target’s mining company operation may also be subject to the local provincial government – for example in the case of Tanjung Enim (an area known for Coal mining) there have been provincial rules (also known as Peraturan Daerah or “perda”) issued to govern the coal mining operations within that precinct[3]. In addition to all these, aspects pertaining to tax, environmental, labour, trade (including any ban of exports/ imports on coal-related commodities) and real estate law (esp. on land ownership) have to also be considered in your transactions. The framework that we outlined above is to help you to have an overview of the regulatory framework that is applicable in Indonesia. This helps to at least provide a basic concept and an early guideline in performing M&A transactions. Besides the framework above, below are also additional tips we believe would be important to consider when you are looking to perform M&A in Indonesia:

1. Understand the basic nature and mechanics of Indonesian limited liability company regulations Gaining an understanding of the mechanics behind the Indonesian Limited Liability Company is your key first step to navigate this complexity. You may start by gaining an understanding of the Indonesia Standard Industrial Classification (or formally known as Klasifikasi Buku Lapangan Indonesia (KBLI)) and the various licences needed to operate certain businesses (or also known as Surat Izin Usaha Perdagangan (SIUP)). Beyond that, it is also important to understand the basic structure of Indonesia Limited Liability Company as coded by Law No.40 of 2007 (Company Law) as amended by Law No.11 of 2020 of Omnibus Law and Law No.25 of 2007 on Capital Investment (Investment Law), which governs the basic legal framework of investing into the country.

2. Go to the source and have your local Indonesian team vet through the regulations When in doubt, you should always go back to the source and not just rely on the interpretation of the law itself (or as reviewed/ commented by many legal advisors). Where necessary, it is definitely very important to have your Indonesian team members or representatives look into the original regulations as issued by the official source.

3. Seek advice from government investment services It is always important to get advice from not only your legal key person but also from government investment services and relevant trade associations. This is probably the only time that getting multiple pieces of advice from various sources is an efficient way to do business in the context of performing M&A in Indonesia, as a simple wrong step may cause a significant setback. Hence, other than getting reliable advice from your trusted legal advisor, it may also be necessary to contact the investment service department of the Investment Coordination Board (BKPM) OR your contacts in the relevant trade associations.

4. Always keep yourself updated and aware that many regulations are not always permanent In the example above, there was a ban imposed on the exports of coal – but this was only ephemeral – at the end of January 2022, which is just a few days from when the ban was announced, these regulations have been updated and there is no longer a ban imposed on such exports. This is to show that rules do change frequently.

At IGPI, we believe that it is very important to understand the local regulatory customs governing your business needs. We hope that the legal framework and advice above would be of great assistance when you explore M&A in Indonesia. Feel free to reach out to our M&A advisory team for any further discussion.   **************************************************************************************************** [1]  https://www.tmf-group.com/en/news-insights/publications/2022/global-business-complexity-index/ [2] https://www.esdm.go.id/en/media-center/news-archives/preventing-power-outages-govt-temporarily-bans-coal-export [3] The various provincial rules issued pertaining to PT Tambang Batu Bara Bukit Asam (Persero) Tbnk at Tanjung ENIM ****************************************************************************************************

About the author

Mr. Erwin Thio is the Senior Manager of IGPI Singapore. Before joining IGPI, Erwin was part of KPMG Corporate Finance team in Indonesia, where he led various cross-border transactions, working with both local/ regional and global players. He also acted as engagement lead for a handful of Corporate Finance strategy/ advisory engagements for Indonesian state-owned enterprises, including an engagement for a major strategic national project, a government-to-government cooperation between a consortium of Indonesia state-owned enterprises and a consortium of leading Chinese corporations. Erwin’s areas of expertise are in M&A deal management (both buy-side and sell-side), deal structuring, valuation and commercial due diligence, market analysis, and project management. He has also spent a number of years working within the investment and fund management (particularly for Real Estate Private Equity Funds) division of major developers such as Mapletree, Lendlease, Savills IM, and CFLD, where he helped with deal execution and origination, capital raising, fund creation/ development, and management. Erwin graduated with a Bachelor of Business Management from Singapore Management University with a Major in Finance and he is also a CFA Charterholder.   

About IGPI

Industrial Growth Platform Inc. (IGPI) is a premium Japanese management consulting and M&A advisory firm headquartered in Tokyo with offices in Singapore, Hanoi, Shanghai and Melbourne. IGPI has 14 institutional investors, including prominent Japanese mega-corporations such as Nomura Holdings, SMBC, KDDI, Recruit and Sumitomo Corporation to name a few.  IGPI has vast experience of supporting Fortune 500s, Govt. agencies, universities, SMEs and startups across Asia and beyond for their strategic business needs such as market entry and growth strategies, various aspects of M&A, innovation advisory, new business creation etc. IGPI is consciously an industry agnostic firm (work in 10+ industries) and this coupled with it making its own venture investments (30+ till date) adds to its uniqueness. IGPI has a JV with Japan Bank of International Cooperation (JBIC) – one of JV’s initiative is a VC fund in Europe (EUR 100mn fund) with participation from Honda, Panasonic and Omron.   *This material is intended merely for reference purposes based on our experience and is not intended to be comprehensive and does not constitute as a digital transformation advice. Information contained in this material has been obtained from sources believed to be reliable, but IGPI does not represent or warrant the quality, completeness and accuracy of such information. All rights reserved by IGPI.

The pandemic has affected business performance and soured deals

In what would have been the largest US$16.2 billion deal in the luxury industry, Tiffany sued LVMH for deliberately stalling completion of the deal agreed in 2019 before the pandemic emerged. LVMH in turn countersued Tiffany for breach of its obligation to operate in the ordinary course of business through “mismanagement of its business”, such as taking on additional debt and paying regular dividends during the pandemic even when Tiffany posted losses. LVMH further cited the pandemic as a “material adverse event” that changed the understanding of the agreement in 2019. The parties eventually agreed to settle for a lowered purchase price from US$135 per share to US$131.5 per share (2.6% reduction). In other news, WeWork sued Japanese conglomerate Softbank Group for backing out of the US$3 billion tender offer, accusing it of succumbing to “buyer’s remorse” during the pandemic. Softbank stated that several pre-conditions had not been met and the pandemic had impacted the business of WeWork, among other reasons.

Choosing an appropriate closing structure helps prevent repercussions

There are two general types of closing structure (1) simultaneous signing and closing — where the definitive agreements are signed and the deal closes at the same time, and (2) deferred closing — where the closing occurs after the definitive agreements documents are signed, and there are usually closing conditions to fulfil. Simultaneous signing and closing is a simpler process and eliminates transaction risk, such as the risk of Tiffany vs LVMH, but it might not be possible if the deal is conditioned on items such as regulatory approval, shareholder approval, bank financing. There is also the sensitivity of leaking the news of transaction prior to signing if there is a need to solicit for approval beforehand (e.g. shareholder approval, change of control for material contracts). Deferred closing scenario is more complicated as it involves negotiating covenants and conditions, as well as agreement on various key aspects such as termination, restriction on activities, representations and warranties, price adjustment (read up more on locked box and completion accounts mechanism for further information). However, it spells out conditions precedent to closing, such as gaining shareholder and regulatory approval, which eliminates risk of business operations and continuity upon change of hands. In this deferred closing scenario, there will be negotiations required based on the geography, industry and nature of the business.

Negotiate down to the specifics and pave scenarios for bowing out gracefully

In negotiating the clauses and conditions to be inserted in a deferred closing scenario, buyers will inherently want to be as comprehensive and specific as possible to list “walk-away” scenarios, such as defining what constitutes as material adverse events. Permissible and restricted activities, such as distributing dividends and terminating material contracts, should also be stated. While sellers might not always agree to such terms, a discussion is necessary to state and align the intent of the parties. In the case of Tiffany vs LVMH, LVMH argued that Tiffany did not specifically mention the prospect of a pandemic in a detailed list of events where LVMH have to bear the consequences, even though there were specific carve-outs such as “Hong Kong protests” and “terrorism”. Tiffany in turn argued that they need not anticipate every conceivable cause of an industry-wide decline and specifically identify each of those causes. It is always with the benefit of hindsight that including a pandemic in the list of events would have avoided the argument. While we cannot prepare for the unexpected, we have to be prepared that deals might not complete and there might be legal repercussions. Even though the court rarely forces a company to go forward with a deal, plaintiffs (usually seller who want the buyer to commit to the deal) might still pursue for more negotiation power for a settlement. It is hence advisable to adopt a prudent approach when evaluating such risks and reflect extensive consideration in documentation.

Continuously navigate transactions in the midst of a pandemic with care

While the pandemic has caused some companies to delay investments, some have chosen to be proactive in identifying opportunities in this crisis. Cross border transactions are still ongoing as virtual discussions and due diligence have replaced traditional physical business trips, with most being quick to adapt. Valuation and pricing are debatable in this volatile environment, with earn-outs and price adjustments used to bridge the expectation gap between sellers and buyers. As business environment evolves to a new normal brought about by the pandemic, we should be flexible and quick to adapt. Experienced M&A advisory professionals will be able to offer valuable advice to not just guide companies through a smooth transaction, but also to safeguard interests when potential transactions fall through between definitive agreement and transaction closing.

About the Author

Chong Han is a Senior Manager at IGPI Singapore. Chong Han’s career started in 2008 in the M&A advisory arm of a global professional services firm, with a focus on valuation advisory relating to mergers and acquisitions, restructuring, financial reporting and litigation support. Thereafter, he joined a SGX-listed regional real estate player, investing in lands for development and properties for redevelopment or holding. His experiences and skills span across a wide spectrum of investment activities such as market analysis, due diligence, valuation, and financial modelling and transaction execution in Singapore and beyond.

About IGPI Singapore

Industrial Growth Platform Inc. (IGPI) is a premier Japanese M&A advisory firm with presence and coverage across Asian markets. IGPI was established by former members of Industrial Revitalization Corporation of Japan (IRCJ) in 2007. IRCJ, a US $100 billion Japanese sovereign wealth fund, is known as one of the most successful turn-around funds supported by the Japanese government. In 2017, IGPI collaborated with Japan Bank for International Cooperation (JBIC) to form JBIC IG, providing investment advisory services and supporting overseas investment. In 2019, JBIC along with BaltCap has jointly established Nordic Ninja, a €100 million venture capital fund to focus on deep tech sectors such as autonomous mobility, digital health, AR/VR/MR, artificial intelligence, robotics and IoT in the Nordic and Baltic region. In 2019, IGPI established IGPI Technology to focus in the area of science and technology. The company invests in technological ventures and provides hands-on management support. The company also provides business development support and consulting towards commercialization and monetization of technologies IGPI Singapore was established in 2013 to focus on management consulting and M&A advisory in Southeast Asia across various sectors. Our firm acts as a bridge between Japan and Southeast Asia, having advised on market entry strategy, potential target search, valuation, due diligence, M&A process management, post-merger integration and change management for leading Japanese clients. In addition, we have helped businesses in Southeast Asia enter Japan with consulting services and support. We also provided sell side advisory for SMEs and private equity fund looking to divest. Get in touch with us on strategy, innovation, portfolio planning and M&A related topics! IGPI Singapore – contacts:
Kohki Sakata Chief Executive Officer +65 81682503 k.sakata@igpi.co.jp
Kim-Lân Dang Senior Manager +65 91000273 k.dang@igpi.co.jp
Chong Han Lim Senior Manager +65 90692611 c.lim@igpi.co.jp
This material is intended merely for reference purposes based on our experience and is not intended to be comprehensive and does not constitute investment, legal or tax advice. This should not be regarded as an offer to sell or as a solicitation of an offer to buy any financial product, an official confirmation of any transaction, or as an official statement of IGPI. Information contained in this material has been obtained from sources believed to be reliable, but IGPI does not represent or warrant the quality, completeness and accuracy of such information. All rights reserved by IGPI.
  This article discusses the importance of innovation to achieve long-term growth, the mindset and culture required to drive innovation, the considerations to form actionable ideas aligned to innovation strategy, the process of managing innovation and the approaches to cultivate innovation.

Utilize innovation as a critical lever to achieve long-term growth

At a time when the pace of innovation is dramatically compressing cycle times, not preparing for the future creates business risk. While it is tempting for businesses to weather the uncertainty either by taking a “wait-and-see” approach or a defensive cost cutting approach, we believe that companies need to focus on both top line and bottom line growth.  Focusing only on cost cutting will tend to impede top-line growth since companies will not be positioned to take advantage after the crisis ends. This aligns with the 2019 study conducted by Gartner on the fortune 1,000 companies. The survey observed that companies that focused on both top-line and bottom-line growth during the 2008 recession emerged as top of their industries in terms of revenue, margin improvement and long-term growth. According to its survey, outperformers posted a 13% annualized growth rate in earnings before interest, tax, depreciation and amortization (EBITDA) between 2009-2017, compared to a 1% annualized contraction in EBITDA among the control group.

 

 

 

Inculcate an explorer mindset – Encourage risk taking and accept failures

Traditional corporate culture of rewarding success and inaction while punishing failure is an obstacle for innovation. As the process of innovation requires exploration and taking risks, companies must rewire their culture and norms to tolerate and value risk. Innovative organizations have embraced an explorer’s mindset, marked by a constant search for new ideas and a passion to solve fundamental problems for the company’s customers and employees. Companies can empower employees by providing them with channels and resources for them to pursue innovative ideas independently. Adobe’s Kickbox program has successfully provided a toolkit to encourage and guide employees to contribute ideas, and has since become an open-source material used by other organizations. Commitment and direct involvement from top management is also crucial to inculcate an innovative culture. While there might be a trade-off between short-term performance and investment in innovation, top management needs to create a clear vision and strategy for innovation with communication and allocation of sufficient resources. Innovation can be broadly classified as sustaining innovation to improve current products within existing businesses and disruptive innovation to discover new products and markets. It is hard for disruptive innovation to happen within most established companies as incentives for business units are aligned to the existing businesses. As such, new business units with new business models are needed for disruptive innovation. External avenues to innovation that are kept separate would be viable as well.

Work on actionable ideas aligned to your strategy that can be monetized

Though it is often tempting for companies to measure innovation by R&D spending in absolute terms or as a percentage of total revenue, studies have shown that there is little correlation between both of them. While R&D spending is an indication of commitment to grow, R&D typically focuses on technical aspects which might not coincide with the needs of customers. Innovation should have needs of customers — either existing or future — in mind. Innovative companies often have clear innovation strategies that typically have a society and customer-centric focus. Amazon has adopted a data-driven and customer-focused innovation approach, using artificial intelligence to understand customer behavior in order to predict what they might want next. Typical questions that help companies to choose focus areas include:
  • What are the key challenges of the future? Do customers have needs that they want to be solved?
  • In which areas does the company hold the greatest pockets of knowledge, competence, and resources, and how can they be leveraged?
  • Which market segments should the company target?
  • How do customers define value, and what are the key considerations by which we can create a compelling value proposition for them?
  • What data should the company generate during development to prove the value proposition?
  • Can we make money from the value proposition?
  • Is the value proposition aligned with our strategy?
  • What revenue and profit targets need to be achieved?
  • What resources are available for reinvestment?
While there will always be a strong element of risk in innovation, the process of managing innovation should never be haphazard or risky. A holistic and data-driven approach to prioritizing innovation investments can increase R&D efficiency and greatly reduce the risks of research bottlenecks and wasted R&D resources.

Develop a formal process for managing the innovation process

Poor management of innovation processes in the organization can have huge long-term economic and strategic implications. A poor process could result in under-utilized capabilities, focusing on unrealizable projects, lack of vision on desirable outcomes, misallocation of resource and no results. Companies that aptly manage their innovation efforts stand to gain an edge over their competitors. Innovative cultures require guiding structure of governance and process to be effective. As innovation requires starting with numerous ideas before narrowing them, it is important to know when to stop investing in faltering ideas or projects. There should be stringent capital controls, resource allocation mechanisms and clear processes in place to guide projects or kill them.

Explore internal and external avenues to innovation

Innovation approaches should complement each other; hence companies should deliberately construct and operate their portfolio of approaches. In addition to openness to ideas created in-house and from internal R&D departments, companies must be open to sources of new ideas through engagement with a broader external ecosystem. Experienced innovators employ a variety of approaches to generate innovation. The portfolio of external approaches include corporate venture capital, business accelerators, incubators, acquisitions and partnerships with the broader ecosystem. Knowing where you are today helps you set the course and prioritize what needs to happen next. It also helps you to strategize your move – either succeed as a disruptive innovator or defend against a disruptive challenger. The following questions are useful to determine which approach best suits your needs:
  • How much resources (time, money, human resources) can you allocate internally and externally?
  • Do you want to focus on growth of your existing businesses or discover disruptive ideas and new businesses?
  • Do you employ enough approaches to constitute a diverse portfolio? Are those approaches aligned with clear objectives?
Highly innovative companies collaborate with an ecosystem of external organizations to tap into specialized expertise and broader talent pools, to build tools and solutions without bearing the full cost and to gain exposure to new ideas and business models.

How can IGPI help you in your innovation journey?

Established companies should encourage innovation by fostering a risk taking organizational that is in line with a clear strategy for innovation focused on customer needs. Companies need to understand that innovation is a journey and there is a need to review their portfolio approach from time to time to make sure they are focusing on the right opportunities that aligned with the changing needs of the business. For that reason, businesses must engage with strategy consulting firms to make strategic business decisions. Based in Singapore, IGPI has the end-to-end capabilities in supporting your innovation journey. As a management consulting firm, we can help you by both looking inside and outside to identify best opportunities that align with your strategy and core capabilities. Here is a representative list of our capabilities to serve your innovation needs:
  • Internal change management to shape an innovative culture through empowering employees
  • Discover new growth areas by exploring adjacencies where your organization has opportunities and capabilities to win
  • Identify disruptions and emerging trends that your business should be aware of and embrace
  • Identifying the areas where your competition are placing bets and which emerging players are most interesting or threatening
  • Review, align and restructure innovation initiatives to identify loss-making initiatives and focus on the key issues
  • Identify the critical capabilities required and define the best path to obtain them whether through corporate venturing, partnership, acquisition, or internal development
  • Support for acquisitions, running an accelerator program, identification of partners

Case study:

IGPI developed the concept of ideathon and developed a business model from the ideas shortlisted from the ideathon

Our client, a global fortune 500 conglomerate, wanted to enter a new space in the technology-driven health and wellness sector in Southeast Asia

 

 

1. How to source for ideas?2. How to define the business model?3. Who should they partner?
 

 

IGPI’s involvement
  • Studied the client’s choice of market
  • Identified talent pools for idea generation Identified talent pools for idea generation
  • Developed marketing and execution plan for the client
  • Conducted market research on the feasibility of the idea
  • Developed business model that includes Go-to-market strategy and monetization strategy
  • Created list of potential targets for collaboration
  • Contacted targets for collaboration
  • Recommended partners that offer complementary strengths to client’s business
Outcome
  • Ideathon has been conducted in a leading university in the client’s market of choice
  • Several ideas have been submitted by the participants
  • Recommended client to work with partners within the ecosystem and separated the new team from current organization
  • Partnered with MNCs, Startups, and data providing agencies to develop AI based proof of concept
 

Key takeaways:

  1. Time to market is key to gain expertise in the new segment. Convinced the conglomerate to partner with ecosystem players because it gives them first mover advantage to bring innovative solutions to market
  2. Local knowledge is essential for new business development. IGPI’s local knowledge helped in developing market intelligence in the market. IGPI was able to conduct market research and collaborated with startups and other ecosystem players in local language
  3. Pilot partners are necessary to test the viability of the idea. We were successful in identifying the requirements of the partners to run the pilot program

About the Authors

Chong Han is a Senior Manager at IGPI Singapore. Chong Han’s career started in 2008 in the M&A advisory arm of a global professional services firm, with a focus on valuation advisory relating to mergers and acquisitions, restructuring, financial reporting and litigation support. Thereafter, he joined a SGX-listed regional real estate player, investing in lands for development and properties for redevelopment or holding. His experiences and skills span across a wide spectrum of investment activities such as market analysis, due diligence, valuation, and financial modelling and transaction execution. Divya is an Associate at IGPI Singapore. She started her career with Tech Mahindra (then Satyam Computer Services Limited), a leading Indian IT services provider in their technology advisory services team. Later she worked with leading companies in Singapore – Prudential, AIA and Tetra Pak in their IT departments. In a career spanning 15 years in various industries, she has participated in several digital transformation and innovation initiatives in various roles. After attaining her MBA from National University of Singapore, she joined IGPI where she works on strategy projects.  

About IGPI Singapore

Industrial Growth Platform Inc. (IGPI) is a premier Japanese business advisory firm with presence and coverage across Asian markets. IGPI was established by former members of Industrial Revitalization Corporation of Japan (IRCJ) in 2007. IRCJ, a US $100 billion Japanese sovereign wealth fund, is known as one of the most successful turn-around funds supported by the Japanese government. In 2017, IGPI collaborated with Japan Bank for International Cooperation (JBIC) to form JBIC IG, providing investment advisory services and supporting overseas investment. In 2019, JBIC along with BaltCap has jointly established Nordic Ninja, a €100 million venture capital fund to focus on deep tech sectors such as autonomous mobility, digital health, AR/VR/MR, artificial intelligence, robotics and IoT in the Nordic and Baltic region. In 2019, IGPI established IGPI Technology to focus in the area of science and technology. The company invests in technological ventures and provides hands-on management support. The company also provides business development support and consulting towards commercialization and monetization of technologies IGPI Singapore was established in 2013 to focus on management consulting and M&A advisory in Southeast Asia across various sectors. Our firm acts as a bridge between Japan and Southeast Asia, having advised on market entry strategy, potential target search, valuation, due diligence, M&A process management, post-merger integration and change management for leading Japanese clients. In addition, we have helped businesses in Southeast Asia enter Japan with consulting services and support. We also provided sell side advisory for SMEs and private equity fund looking to divest. Get in touch with us on innovation, portfolio planning and M&A related topics! IGPI Singapore – contacts:
Kohki Sakata Chief Executive Officer +65 81682503 k.sakata@igpi.co.jp
Kim-Lân Dang Senior Manager +65 91000273 k.dang@igpi.co.jp
Chong Han Lim Senior Manager +65 90692611 c.lim@igpi.co.jp
This material is intended merely for reference purposes based on our experience and is not intended to be comprehensive and does not constitute as a digital transformation advice. Information contained in this material has been obtained from sources believed to be reliable, but IGPI does not represent or warrant the quality, completeness and accuracy of such information. All rights reserved by IGPI.

Rise of Japan’s Outbound M&A Activity

Japan’s outbound M&A activity has risen sharply over the past years, driven by demographic and economic shifts, encouraging government initiatives and low funding cost. As a shrinking population and lackluster domestic economic growth limit internal expansion potential, Japanese corporations are increasingly looking overseas for growth opportunities. Beyond that of tapping on existing capabilities to create new markets overseas, Japanese corporations can also acquire new products and technologies through cross-border M&A. Prime Minister Shinzo Abe’s pro-global business policy has encouraged both inbound and outbound investment. Government organizations such as Japan External Trade Organization, Development Bank of Japan and Japan Bank for International Cooperation are instrumental in fostering a conducive environment for strategic overseas investments. This has brought about a mindset change of Japanese corporations to venture globally. With a loose monetary policy aimed at stimulating economic growth, Japan’s low to negative interest rate encourages Japanese corporations to invest at a low funding cost. Coupled with cash reserve from operations and internal resources, Japanese companies are able to compete on price for attractive targets with their lower hurdle rate.

The Fundamentals of Overseas Expansion

Before any M&A activity, a corporation (Japanese or not) needs to first map its growth strategy. Once M&A has been identified as part of the growth strategy, a deal framework spanning the entire M&A spectrum should be established. A strategic road map enables a corporation to plan and set action plans to achieve goals that are aligned to the vision. Top executives need to communicate a clear vision of the corporation to employees. Employees should be empowered to achieve stated goals and objectives with actionable strategies and plans. For instance, a corporation with a vision to be the leading technology firm globally could have goals of highest market share, driven by plans to hire top-notched employees and acquire leading technology firms globally. Cross-border M&A requires careful planning and expertise to achieve the desired effect. Firstly, the strategic rationale for acquisition should be clear – whether it is for expansion of the core business in a new market, foraying into an adjacent business, or other purposes. Secondly, suitable potential targets that fit the strategic rationale should be identified. Local advisors with local networks and market knowledge are helpful in searching for such targets. Corporations should also identify sources of synergies with the targets and quantify them at this stage. Thirdly, structuring, due diligence and valuation should take place after a certainty of interest has been mutually established. Structuring should consider tax impact (corporate tax, capital gains tax, withholding etc.), regulatory regime and ease of profit repatriation. Common areas of due diligence include financial, tax and legal. Investors should also consider foreign direct investment restrictions that vary by countries and sectors and plan accordingly. Valuation helps form the basis for price negotiation, and aids in synergy quantification (if any). Fourthly, post-merger integration should be planned and executed to achieve the intended effects. It is a folly to think that synergies will realize itself without concise effort. Planning for post-merger integration should start from the beginning of the deal, and include areas such as revised organization structure, reporting line, roles of employee, IT system integration. An in-house steering committee coupled with external change management experts will be helpful. Finally yet importantly, M&A is a reiterative learning process that is honed through ongoing review of performance. Corporations that actively seeks growth through M&A should ideally have a dedicated M&A team that shares knowledge, and periodically compares the intended and actual outcome. It might make sense to exit from the investment at times.

ASEAN as An Investment Destination

Association of Southeast Asia Nations (“ASEAN”) is an emerging region made up of 10 distinct countries, with immense business potential from its booming population of over 650 million. With a combined gross domestic product of US$3.0 trillion in 2018, it is the third largest economy in Asia (behind China and Japan). ASEAN received US$1.5 trillion of foreign direct investment in 2018, topped by Singapore (50%), Indonesia (14%) and Vietnam (10%). Vietnam has been gaining positive attention in recent years in light of the US-China tension, supportive government that is opening the borders and making doing business easier, fast growing and stable economy that created a rising middle-class population and a large population of over 97 million where 70% is under 35 years of age. IGPI has a Hanoi office that works closely with the local government on restructuring of state-owned enterprises. With a geographical proximity to Japan, ASEAN is a popular investment destination for Japanese corporations. Especially for small and medium-sized deals (IGPI defines as less than US$500 million in enterprise value), ASEAN might be more popular than conventional investment destinations such as United States of America, Europe and China. ASEAN has a wide range of opportunities such as being a low cost manufacturing base, housing a rising middle class population that represents a huge consumer market, and booming industries in infrastructure, digital economies, renewable energy, healthcare, education and others. Coupled with its open policy on international trade and dealings, it is little wonder that ASEAN has been gaining traction as an investment destination.

Challenges of Japanese outbound M&A

While Japanese corporations are renowned for their professionalism and knowledge, there are still challenges observed in cross-border M&A activities in ASEAN. Challenges observed are (1) lack of appreciation for the ASEAN’s diverse business-operating environment, (2) extensive information and reporting requirement, and (3) hierarchical structure with multiple layers of mid-management. Lack of appreciation for ASEAN’s diverse business-operating environment ASEAN is a diverse region with different languages and cultural backdrops, requiring sensitivity in the M&A process as well as post-merger integration. Maneuvering such differences require awareness and sensitivity, and a local advisor might be able to bridge the gap. For instance, certain ASEAN regions are straightforward and upfront with their opinions, while some Japanese might be reserved and indirect in their conversation. It is also common for CEO and/or founder of small-medium enterprises in ASEAN to attend meetings where decisions can be made, while mid-management of Japanese corporations who might not have decision making authority might attend such meetings. Extensive information and reporting requirement As information, documentation and processes in ASEAN’s small-medium enterprises might not be as complete as Japanese corporations, due diligence might be a painful process for both parties. The target might have trouble gathering and preparing the due diligence request of the acquirer. Layers of approval required in some Japanese corporations also implies negotiation is a long drawn process, causing frustration and sometimes resulting in a no-deal. If the deal successfully closes, such reporting and governance structure might be difficult for local companies to adopt. Hierarchical structure with multiple layers of mid-management Big Japanese corporations typically have layers of hierarchy that might not be transparent to outsiders. Mid-management (such as in regional headquarters) might not have sufficient authority to make decisions, which might cause a longer process with confusion along the way. As the key performance indicator of the mid-management might not be aligned to the corporation, M&A might not be evaluated appropriately. For instance, measurement by number 4 of M&A activities might cause over-paying for the deal, while measurement by return on investment might lead to over-cautious evaluation and missing the deal. Targets (and acquired companies) might feel frustrated that the decision-makers do not hear what is said, and communication is merely a top-down approach. Communication is a two-way street that can prevent unhappiness arising from differences. Begin with an understanding and appreciation of the differences, and communicate frequently to address feelings of parties. For instance, due diligence requirement and timeline can be communicated upfront so that the acquirer can prepare the target for the requirement, and the target can manage the expectation of the acquirer on the availability of such information. Skepticism of the acquired local companies on perceptions such as glass ceiling of foreign employees in a Japanese corporation and rigid working culture can be allayed through communication. Differences in another perspective, is a good way to grow as parties learn the positives from each other and create a mutually beneficial arrangement. The world is your oyster (or sashimi) Despite the divides that seem to be surfacing in today’s world, IGPI Singapore believes that the world will benefit with cross-border flow of information, people and capital. Being a firm that provides deal support from strategic planning to execution to post-merger integration, IGPI adds value through our local network and market knowledge. Corporations no longer look at just the domestic market in this interconnected world. Opportunities are yours to identify and pick, competitions are yours to navigate and overcome – are you ready for it? Case study: IGPI’s overseas expansion support from strategic planning to M&A advisory

Japanese client in the steel manufacturing industry known for their technology and innovation wishes to expand beyond the domestic market into Southeast Asia

 
 
Which Southeast Asian market to enter?What is the mode of entry?Who should they partner?
 
IGPI’s involvementPerformed analysis of 6 key markets in terms of market size and potential, government regulations and support, business operating environment etcAnalyzed options such as entering organically, joint venture, partnership, acquisition and discussed with client on pros and consCreated list of potential targets for collaboration and contacted targets for discussion before conducting due diligence
OutcomeClient decided on Thailand as key market to enter based on holistic considerationAcquisition was selected as the mode of entry for speed of accessSelected target that had broad network to cross-sell client’s products and due diligence was done with information constraint of target
 

Key takeaways:

There needs to be clear strategy for growth. The Japanese company understood its core strength was its products and sought targets who had distribution channels and customer access to complement them.

Top management needs to be committed and involved. IGPI was able to work directly with the top executives that could make prompt well-informed decisions.

Local knowledge is important for overseas expansion. Local knowledge helped to build rapport with potential targets and facilitated due diligence as our team needed to work around information constraint.

About IGPI Singapore Industrial Growth Platform Inc. (IGPI) is a premier Japanese business advisory firm with presence and coverage across Asian markets. IGPI was established by former members of Industrial Revitalization Corporation of Japan (IRCJ) in 2007. IRCJ, a USD 100 billion Japanese sovereign wealth fund, is known as one of the most successful turn-around fund supported by the Japanese government. In 2017, IGPI collaborated with Japan Bank for International Cooperation (JBIC) to form JBIC IG, providing investment advisory services and supporting overseas investment. JBIC IG provides counsel to Russia-Japan Investment Fund, which has a USD 1 billion joint investment framework with Russia’s sovereign wealth fund. In 2019, JBIC also jointly established a EUR 100 million venture capital fund with BaltCap, focusing on deep tech sectors in the Nordic and Baltic region. IGPI Singapore was established in 2013 to focus on management consulting and M&A advisory in Southeast Asia across various sectors. We act as a bridge between Japan and Southeast Asia, having advised on market entry strategy, potential target search, valuation, due diligence, M&A process management, post-merger integration and change management for leading Japanese clients. In addition, we have helped businesses in Southeast Asia enter Japan and acted as sellside advisor for SMEs and private equity fund looking to divest. Get in touch with us on strategic planning and M&A related topics!
Kohki Sakata Chief Executive Officer +65 81682503 k.sakata@igpi.co.jp
Kim-Lân Dang Senior Manager +65 91000273 k.dang@igpi.co.jp
Chong Han Lim Senior Manager +65 90692611 c.lim@igpi.co.jp
This material is intended merely for reference purposes based on our experience and is not intended to be comprehensive and does not constitute investment, legal or tax advice. This should not be regarded as an offer to sell or as a solicitation of an offer to buy any financial product, an official confirmation of any transaction, or as an official statement of IGPI. Information contained in this material has been obtained from sources believed to be reliable, but IGPI does not represent or warrant the quality, completeness and accuracy of such information. All rights reserved by IGPI.

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