#Japan #Fukuoka #Corporate Value #Ureru #Mirai Securities

Ureru Net Advertising Group Collaborates with Mirai Securities to Transform Investment Strategies

In an exciting development in the financial sector, Ureru Net Advertising Group (represented by CEO Sohei Uekihara), headquartered in Fukuoka, has announced a strategic partnership with Mirai Securities (led by President Kenji Ueshima), located in Tokyo. This collaboration aims to enhance their capabilities in M&A, capital strategy, and corporate value creation, with the goal of establishing a novel investment and growth support model.

This partnership merges Mirai Securities' extensive experience in valuing unlisted stocks, fostered through their insightful research specializations and M&A strategies, with Ureru’s strengths in marketing, AI, and technology. The synergistic fusion of these two firms is set to provide a fresh approach to enhancing corporate value through integrated support before and after investment.

Ureru firmly believes that corporate value can be evaluated from two perspectives: the operational capacity that drives sales and profits, and management strategies that enhance market perceptions by considering capital costs. The collaboration with Mirai Securities leverages this operational strength alongside the financial and capital policy expertise that Mirai offers, paving the way for a new growth-enhancing corporate value creation model.

Partnership Overview

Ureru Net Advertising Group has set its sights on maximizing profit generation across its subsidiaries by the fiscal year ending July 2027. This includes driving growth not only through existing businesses but also emphasizing M&A as an essential strategy for expansion. However, the vision isn’t merely to acquire companies but to enhance the corporate value of acquired entities through the integration of Ureru’s established resources in marketing, AI, technology, and data. This evolution towards a value creation-oriented M&A model marks a significant shift in strategy.

Mirai Securities brings to the table a wealth of expertise in the private equity sector, focusing on the support of unlisted companies through funding, M&A transactions, corporate restructuring, and capital policy strategies. The objective of this collaboration is to build a new corporate value creation model that combines financial acumen with the innovative growth capabilities of Ureru.

Areas of Collaboration

The two companies will focus on a shared agenda, engaging specifically in the following areas:
1. M&A and Investment Collaboration: Utilizing both companies’ networks to identify and evaluate potential M&A and investment opportunities in high-potential companies, succession planning firms, and those requiring business restructuring.
2. Financing and Capital Policy Collaboration: Adapting funding strategies, including equity financing, to fit the growth phases and business strategies of their investment and support companies, supported by their combined financial expertise.
3. Post-Investment Value Enhancement: Leveraging Ureru’s marketing, AI, technology, and human resource capabilities to drive revenue growth and profitability in the invested companies, aiming for continuous corporate value improvement that goes beyond mere capital provision.
4. Investment Scheme and Fund Development: Exploring the creation of new investment frameworks and funds aimed at supporting growth companies, M&A, succession strategies, carve-outs, and business rehabilitation by combining both financial and practical growth strategies.

Transitioning from M&A for Acquisition to M&A for Value Creation

The effects of this collaboration extend beyond new M&A activities. Existing companies under Ureru’s umbrella are set to experience a transformative shift in their operational strategies. The integration offers:
1. New M&A Opportunities from Group Companies: By combining existing market insights and networks with Mirai’s capabilities, Ureru’s group companies can explore new acquisition opportunities and partnerships more strategically.
2. Independent Growth Financing: Mirai's expertise will allow group companies to seek external financing tailored to their unique growth stages, enabling a self-sufficient investment approach.
3. Talent Acquisition for Business Growth: By implementing incentive structures using unlisted shares, it becomes easier for group companies to attract and retain key talents, whose contributions will directly impact business growth.
4. Capital Discipline in Management: Incorporating metrics that align revenue and profit growth with capital costs, instilling a capital-conscious management culture across the group.

Achieving these four elements will help shape a flexible growth model whereby each business entity strives to source its own funds, foster key acquisitions, and take ownership of its capital efficiency. The goal is to construct a group of companies that understand both the revenue-generating capacity and the demands of the capital market.

Looking Ahead

This partnership marks a significant step towards Ureru’s ambition of a comprehensive growth strategy that engages in both organic growth and M&A while tapping into external capital markets to enhance corporate value. The integration of investing, M&A, marketing, and AI signifies a transformative growth model aiming for robust corporate value enhancement. For the fiscal year ending in July 2027, the immediate impact of this partnership is projected to be minimal, yet both companies foresee it contributing positively to long-term corporate value accumulation.

In conclusion, both company leaders expressed eagerness for future collaboration, emphasizing the evolving competitive landscape and the necessity of innovative strategies to optimize growth potential. With Ureru positioned to lead in value-driven M&A, the future looks promising for both organizations as they embark on this transformative journey together.