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Acquisition Targeting

It is common for foreign companies in China to merge with or acquire a qualified Chinese manufacturer. Capitalizing on our team of dedicated professionals with extensive experience and strong industrial backgrounds, we offer comprehensive services that cover the entire M&A process.

 

Our services support companies who have no presence in China as well as those looking to expand. We provide cross-border buy-side and sell-side services such as:

  • Identification and qualification of acquisition targets

  • Identification of deal breakers and formulate acquisition strategies;

  • Background checks and preliminary due diligence

  • Project management and advice on key issues including deal structure, valuation and pricing;

  • Support in negotiation strategy

  • Assistance to gain government approval by facilitating communication with government agencies

Targeting

Based on our solid understanding of China's business environment and knowledge of manufacturing industries, we can quickly identify possible targets and learn about their business performance, ownership structure, business strategies, interests in equity investment and possible risks. All information is synthesized through screening to name short list candidates. 
 

We have successfully conducted targeting projects for multinational manufacturing companies and Chinese investors in a variety of industries.

Commercial Due Diligence

Commercial due diligence is an integral element for cross-border M&A projects. Culture barriers, non-transparent markets, and complex business environment may challenge investors. With strong research capabilities, we help you clarify questions such as:
  • How is the ownership of the target company structured?

  • Will the target company's customers bring value for future growth?

  • What is the business performance of the target company in the industry?

  • Are there any market opportunities available for future growth of the combined companies?

  • What could be the possible risks in market development, supply chain and regulatory environment?

  • Is the attractiveness of the target (market, technology, manufacturing capability...) worthy of the investment?

 

We have served a number of medium-size foreign investors to conduct commercial due diligence for acquisition decisions. Most projects can be completed in 2-4 weeks.