Mergers and acquisitions (abbreviated as M&A) occurs in the market through capital and financial transactions.

Mergers and acquisitions is a business strategy benefiting both the buyer and the seller. Compared to scale expansion via new branches, M&A with a suitable business helps reduce costs and time. Besides, other advantages include:

  • The buyer does not need to spend money on finding projects and completing administrative procedures, and at the same time takes advantage of the local consumer market and human resources upon the completion of M&A;
  • For the seller, when merging with a business of the same level or larger, its value and reputation will both increase. The same applies for startups, until they stand on a giant’ shoulders of and become reputable;
  • Especially for small or struggling businesses, M&A is an opportunity to turn the situation around and escape the brink of bankruptcy. However, to carry out this process, each target company and investor need to evaluate, test and review very carefully on many criteria to get the best results!