ORIX Launches M&A Agency Business
Nov 05, 2021
TOKYO, Japan - November 5, 2021 - ORIX Corporation (“ORIX”) announced today that it has registered as a support organization under the M&A Support Organization Registration System of Japan’s Small and Medium Enterprise Agency to launch a full-scale M&A agency business.
While operating a business investment service for medium and large enterprises, ORIX established a specialist unit in 2018 to focus predominantly on business succession needs of small and medium enterprises. In addition to offering consulting services dealing with things such as share transfer schemes, and advisory services dealing with capital policy, the company is helping its customers improve corporate value and resolve business succession issues. It employs a range of methods that meet the customer’s present and future needs, including acting as transferee of shares, enhancing management structures, and developing next-generation management teams.
ORIX has now created a system in compliance with the M&A Guidelines for SMEs*1, formulated by the Small and Medium Enterprise Agency, and has registered as an M&A support organization. It will also launch M&A agency services to provide more options for resolving business succession issues.
According to tentative calculations by the Small and Medium Enterprise Agency, a rapid increase in business closures due to lack of successors to small and medium enterprises and small businesses will result in a cumulative loss of about 6.5 million jobs and about 22 trillion yen of GDP over the decade to about 2025*2. At the same time, small and medium enterprises are facing an increasingly difficult business environment that includes the need to drive digital transformation (DX) as a result of the COVID-19 pandemic and demands by large business partners for decarbonization in the supply chains.
ORIX will enhance its management succession support businesses for those business operators around Japan who are facing issues with succession. At the same time, it will contribute to the robust development of the M&A market for small and medium enterprises and to the revitalization of regional economies.
*1 M&A Guidelines for SMEs Formulated (March, 2020） [1.8MB] (in Japanese)
*2 Small and Medium Enterprise Agency: Business Succession and Startup Policy (February 5, 2019) [2.1MB] (in Japanese)
Investor Relations and Sustainability Department
ORIX Corporation (TSE: 8591; NYSE: IX) is a financial services group which provides innovative products and services to its customers by constantly pursuing new businesses.
Established in 1964, from its start in the leasing business, ORIX has advanced into neighboring fields and at present has expanded into lending, investment, life insurance, banking, asset management, automobile related, real estate and environment and energy related businesses. Since entering Hong Kong in 1971, ORIX has spread its businesses globally by establishing locations in 28 countries and regions across the world.
Going forward, ORIX intends to utilize its strengths and expertise, which generate new value, to establish an independent ORIX business model that continues to evolve perpetually. In this way, ORIX will engage in business activities that instill vitality in its companies and workforce, and thereby contribute to society. For more details, please visit our website: https://www.orix.co.jp/grp/en/
(As of September 30, 2021)
Caution Concerning Forward Looking Statements:
These documents May contain forward-looking statements about expected future events and financial results that involve risks and uncertainties. Such statements are based on our current expectations and are subject to uncertainties and risks that could cause actual results that differ materially from those described in the forward-looking statements. Factors that could cause such a difference include, but are not limited to, those described under “Risk Factors” in the Company’s annual report on Form 20-F filed with the United States Securities and Exchange Commission and under “(4) Risk Factors” of the “1. Summary of Consolidated Financial Results” of the “Consolidated Financial Results April 1, 2020 – March 31, 2021.”
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