M&A investment involving Japanese firms down 42% in 2009

TOKYO, Jan. 30 Kyodo -
Mergers and acquisitions involving Japanese companies totaled 7.24 trillion yen
in 2009, down 42.2 percent from the previous year to its lowest level since
2003, according to data compiled by M&A adviser Recof Corp.
The number of M&A deals involving Japanese firms was 1,957 last year, down 18.4
percent and falling below 2,000 for the first time in six years.
The financial position of Japanese companies has been improving as the global
economy recovers from one of the worst recessions in decades, but firms remain
reluctant to boost M&A activities due to uncertainty over the economic outlook,
analysts said.
The decrease was remarkable in M&A deals involving Japanese companies targeting
foreign firms -- at 2.80 trillion yen, down 62.3 percent, while the figure for
M&As between Japanese firms was 3.74 trillion yen, down 19.1 percent.
One of the major deals was Kirin Holdings Co.'s acquisition of a nearly 50
percent equity stake in the Philippines' San Miguel Brewery Inc.
M&As in Japan by foreign companies, meanwhile, rose 49.8 percent to 702.9
billion yen, including deals involving companies from China and other emerging
economies, the Tokyo firm said.
Investment in Japanese firms by Chinese companies totaled 19 cases in 2009, up
from 13 in the previous year, it said.
==Kyodo