Registration and refreshments
Regional M&A outlook: Finding opportunity in uncertainty
In 2019, amidst heightened macroeconomic risks and regulatory headwinds, Asian M&A activity recorded USD565.3 billion across 3,735 deals. The global COVID-19 outbreak has also brought unprecedented implications for businesses, and the long-term effects on M&A dealmaking are still to be determined. Dealmakers in the region will therefore feel the pressure to identify and capture growth opportunities through intra-regional deals, invest in technology innovations, and make strategic investments that will strengthen their position in the uncertain global climate. Our panel of leading advisors share their views on the region and discuss how to future-proof businesses against risks in regional M&A in the year ahead.How are global and local economic, trade, and regulatory issues shaping regional M&A?
- How is the COVID-19 outbreak, as well as global and regional economic and regulatory issues shaping regional M&A?
- Which sectors and regions have been less impacted by regional headwinds, and how can corporates and investors take advantage of them?
- What can businesses do to ensure that they are risk-ready?
- What are the future themes and trends in Asian M&A in the next 12 months, and what are some new opportunities on the horizon?
Networking coffee break
Cross-border focus: Investing in Southeast Asia
Southeast Asia is quickly becoming the preferred investment destination amongst Asian executives. M&A activity in the region increased in value by nearly one-third in 2019 compared to the previous year, while the rising levels of dealmaking in the region bucked the downward trend seen elsewhere in Asia Pacific. With countries such as China, Korea, and Japan investing in Southeast Asia, regional consolidation continues to fuel M&A activity as corporates and financial investors look to expand into new markets to acquire new technologies and new production capabilities. Our panel of industry experts discuss the current trends and deal flow activity of cross-border transactions in Southeast Asia.
- What are the factors fuelling intra-regional dealmaking?
- What are the top sectors that are attracting investor interest, such as consumer tech and healthcare, particularly in light of the COVID-19 outbreak?
- How can overseas investors build up regional platforms by identifying suitable partners to work with?
- What are the challenges that Chinese companies might face when expanding into new markets in Southeast Asia?
Regulatory trends: A primer for corporates in the region
Globally, the increasing trend of protectionist policies by international governments, as well as rising trade tensions and political uncertainties, especially in the aftermath of the COVID-19 virus, are likely to be challenges for cross-border transactions and will result in extended deal timetables. However, against this backdrop the Chinese government has recently made accelerated steps to open up to the rest of the world, introducing pro-business regulatory changes such as shortening a negative list to increase market access for foreign investors. Our panellists discuss what these regulatory changes mean for Hong Kong-based companies, as well as multinationals with operations in China.
- Which sectors have seen the most regulatory pushback, and what is the outlook for 2020¬¬/21?
- How will the updated CFIUS regulations impact foreign investments in China?
- How are multinationals looking at China and re-evaluating their strategies in light of regulatory changes?
- As the gateway to China, how will Hong Kong be affected by these regulatory changes?
Case study: closing a deal during COVID-19
In this session, a dealmaker will talk through the steps taken to successfully acquire a target during the COVID-19 outbreak, and how they took into account key considerations such as valuation and governance issues. Gain insights into how the acquirer navigated the dealmaking process to mitigate any potential disruptions, including measures relating to increased due diligence, deal terms in acquisition agreements and more. The acquirer will also talk about challenges of executing a deal whilst working remotely, as well as technologies employed that could be used to enhance future processes.
Private equity and strategics – partnering to win the deal
With an estimated USD1.5 trillion in undeployed capital, private equity is expected to continue to be a key driver of M&A activity in Asia. According to an industry report, Asia Pacific executives expect heavy competition between GPs and corporates for assets as a result, with an increase in hostile and competitive bidding in the year ahead, particularly in light of the COVID-19 outbreak as strategic investors find the need to seek opportunities to stabilize their businesses . However, there are various reasons for strategics to partner with private equity firms. From identifying potential synergies to post-closing value creation, both types of buyers have their own advantages to bring to the table. Our panel explore the opportunities and challenges facing these investors.
- How have uncertainties related to COVID-19 affected buyer sentiment in the region?
- What are the different strategies deployed by private equity firms vs strategics in Asia?
- What are the benefits to partnerships between private equity and strategics, and is this a trend that will increase in Asia?
- What are the challenges associated with collaboration between private equity and strategic investors?
Presentation: Paving the path to successful post-merger integration
Effective post-merger integration (PMI) is crucial to the success and value of a transaction. This in-depth presentation will cover the necessary steps needed for PMI when acquiring businesses in Asia, including navigating common pitfalls, as well as case studies of successful examples of integration and lessons learned.
Networking coffee break
Sector focus: Technology and disruption
Technology deals dominated M&A activity in Asia in 2019, accounting for USD111.2 billion in transactions. As the demand for technology continues to grow, Asian executives are increasingly building capabilities through strategic investments and corporate venture capital funds, as well as establishing external funds to invest in a range of new technologies. Our panel of experts and corporate executives discuss dealmaking in this sector and how companies can future-proof their positions by tapping into relevant opportunities.
- What are the challenges associated with investing in new technologies?
- What are some of the technology sub-sectors that are gaining traction in Asia, such as consumer tech and fintech?
- How are corporates doing M&A differently with new technologies, and what tools can they adopt to stay ahead of the curve?
- How is corporate venture capital activity shaping up in the region?
Close of conference and cocktail reception