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Recent M&A Research Findings by BATONZ

BATONZ, an M&A and business succession support platform operated by BATONZ Inc., conducted a comprehensive survey targeting its members. The goal was to understand the critical points sellers, buyers, and M&A experts prioritize during transactions, as well as to identify barriers to successful deals. This study was carried out between July 8 and July 22, 2025, using an online questionnaire approach. The survey received responses from 134 sellers, 459 buyers, and 285 M&A specialists.

Sellers' Key Focus: Character and Capability of Buyers

In the survey, the most significant consideration for sellers when selecting a buyer was the character and capability of the management. A noteworthy 50% of respondents emphasized this factor, outpacing the second most significant aspect, which was obtaining the highest possible sale price (41.8%). This indicates that sellers are not only concerned about the transaction price but also about the future of the business and its employees after the transfer.

Individual Buyers Prioritize Price and Growth Potential

When it comes to individual buyers, the research revealed that their primary focus lies on the acquisition price, which accounted for 22.3% of their preferences. Close behind were considerations regarding business growth potential at 21.1% and sales and profit margins at 20.0%. This suggests that individual buyers are heavily influenced by the price of the deal and the forecasted potential of the business.

Corporate Buyers Value Synergies Most Highly

The corporate buyers, however, showcased a different priority. They predominantly emphasized synergies with their existing operations, with a striking 43.7% ranking this as their top concern. This was significantly higher than the second-ranked variable of acquisition price, which received 28.2%. This finding implies that many corporations consider M&A as a strategic move to accelerate their growth by integrating new businesses.

M&A Experts on the Main Obstacle: Price Disparity

When asked about reasons for unsuccessful M&A deals, M&A experts identified price disparity as a major factor, with 52.3% citing it as the most common reason. This clearly points to the difficulties arising from differences in price expectations between buyers and sellers, indicating that bridging this gap is vital for successful transactions.

Summary of Research Insights

The insights derived from this research on M&A reveal the complexities and diverse motivations behind each party's approach to transactions. Specifically, sellers prioritize the suitability of the buyer's management, while buyers often focus on tangible financial metrics intertwined with potential growth. M&A specialists highlight critical barriers such as pricing discrepancies that can impede agreements.

For further details, a comprehensive report is available, which expands on the specific findings, challenges in post-M&A integration (PMI), negotiation barriers, and more. You can access the full report here.

By providing this structured insight, BATONZ aims to foster a better understanding of the dynamics at play in M&A transactions. The platform is committed to creating an environment where seamless transitions between businesses can occur, ultimately enhancing the landscape of business succession and acquisitions in Japan.

About BATONZ

BATONZ's vision emphasizes the goal of an M&A world where transactions can happen easily and freely, anywhere. Being a leading platform in this sector combines expert support with technological advancements, leading to being recognized as the No.1 platform in Japan based on various metrics, including total transactions and listing numbers from 2021 to 2023 (including projected values). For more information, visit their official website: BATONZ Company.