#Japan #Vietnam #Tokyo #M&A #ONE-VALUE

ONE-VALUE Enhances Support Services for Japanese Companies in Vietnam

Introduction
ONE-VALUE Inc., based in Koto, Tokyo, has announced an expansion of its services aimed at assisting Japanese companies with their exit strategies from the Vietnamese market. This includes an array of support services for the sale of local subsidiaries, divestitures, and complete exit strategies, addressing the growing need among firms navigating the complex economic landscape of Vietnam.

Context of Japanese Businesses in Vietnam
In recent years, a large number of Japanese firms have established operations across diverse sectors in Vietnam, ranging from manufacturing and retail to IT and logistics. However, with the rapid changes in the business environment, many are now considering exit strategies due to various factors—declining profitability, rising operational costs, challenges in local management, and changes in investment recovery strategies.

Complexities of Exiting the Market
Exiting the Vietnamese market involves far more than just winding up operations. Companies must navigate a labyrinth of legal, tax, labor, and administrative regulations—including handling assets, employee relations, and necessary documentation with local authorities. Inadequate management of these issues can lead to extended exit periods and potential legal and tax complications, increasing costs significantly.

Attractive Opportunities for Buyers
Nevertheless, ONE-VALUE believes that such divestiture cases can present appealing investment opportunities for buyers. Many local subsidiaries of Japanese firms have received substantial investment since their inception, thereby boasting well-established operational frameworks, which often include robust equipment, comprehensive compliance systems, and sound financial practices, more so than local competitors. This creates a more attractive proposition for potential buyers looking to enter or expand in the Vietnamese market.

Timing and Conditions Favorable for Buyers
For selling firms, the urgency to exit, whether it’s for corporate restructuring, financial reporting, or the need to reduce fixed costs, can lead to favorable conditions regarding pricing and transfer arrangements. This offers local businesses, foreign investors, and venture capitalists an attractive opportunity to acquire established operations at competitive rates.

Focus of ONE-VALUE's Services
Specializing in consulting for Japanese firms in Vietnam, ONE-VALUE leverages its extensive network among local government agencies, private enterprises, and industry associations to reframe enterprise exits not merely as closures, but rather as strategic business transitions or mergers and acquisitions.

Key Reasons for the Attractiveness of Exits in Vietnam

1. Careful Management and Compliance
Japanese companies typically approach the establishment and management of their subsidiaries in Vietnam with rigorous compliance and operational standards. This often results in well-structured management systems concerning accounting, human resources, and legal issues, making due diligence less burdensome for prospective buyers.

2. Comprehensive Asset Acquisition
Acquiring established firms allows buyers to inherit crucial assets—including factories, equipment, staff, and necessary permits—expediting their market entry and reducing the costs and time required compared to starting from scratch.

3. Flexible Pricing Conditions
The selling companies’ motivations for an expedited retreat often lead to greater flexibility in pricing and conditions, making these opportunities potentially more lucrative for buyers than conventional M&A deals.

4. Lower Risks Compared to New Entrants
Existing companies offer a clearer view of the business landscape, minimizing the risks associated with new entries, which often involve navigating complex regulatory environments and establishing customer bases from the ground up.

Services Provided by ONE-VALUE

ONE-VALUE offers comprehensive support to Japanese companies considering exits or sales, focusing on:

• - Assessment of Exit Strategies: Evaluating and comparing various exit options, including liquidation and asset sales, tailored to the specific circumstances of the business.
• - Enhancing Deal Appeal: Creating compelling proposals that highlight the unique advantages of acquiring existing businesses, including operational benefits and strategic value.
• - Identifying Potential Buyers: Utilizing its industry network to search for and engage suitable buyer candidates.
• - M&A Execution Support: Offering assistance throughout the negotiation, due diligence, and closing processes to facilitate smooth transactions.
• - Specialized Exit Procedures: If a sale is not feasible, offering guidance on liquidation processes, ensuring compliance with all necessary regulations.

Conclusion
For ONE-VALUE, the exit from the Vietnam market is not an end, but rather a reconfiguration of business assets, potentially providing a new chapter for both sellers and buyers. By integrating its expertise in consulting and M&A, ONE-VALUE aims to streamline the process, ensuring reductions in exit costs for sellers and enabling buyers to enter the Vietnamese market efficiently.

Contact Us
For Japanese firms considering exit strategies, corporate sales, or M&A opportunities, please contact us at ONE-VALUE Inc.
Email: [email protected]

About ONE-VALUE

Since its inception, ONE-VALUE has focused exclusively on providing management consulting services related to business operations in Vietnam, offering a unique blend of local expertise and a deep understanding of the Japanese market. Our commitment lies in delivering effective and tailored solutions to our clients, ensuring successful transactions and business transitions.