[M&A Research Institute] M&A Intermediary Association strengthens efforts to prevent unfair M&A transactions
*M&A Research Institute*
Press release: August 26, 2024
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M&A Intermediary Association strengthens efforts to prevent unfair M&A transactions
*Start of operation of “Specified Business Operator List” for the purpose of sharing information on malicious transferee businesses* M&A Brokerage Association (hereinafter referred to as the
Association), a self-regulatory organization for the M&A brokerage industry (hereinafter referred to as the Association/Location: Chiyoda-ku, Tokyo/Representative Director Kunihiko Arai/URL: https://www.ma-chukai.or.jp/
) will begin operating a “specified business operator list,” a mechanism for sharing information on malicious transferee businesses, from October 1, 2024, in order to strengthen efforts to prevent unfair M&A transactions. We would like to inform you that we have established the “Rules Regarding Information Sharing Mechanisms for Specified Business Operators” as regulations in accordance with the rules.
Background of strengthening efforts to prevent unfair M&A transactions
Our association promotes fair and smooth transactions based on the “Small and Medium Enterprise M&A Promotion Plan” compiled by the Small and Medium Enterprise Agency to promote M&A among small and
medium-sized enterprises, and works towards the healthy development of the M&A intermediary industry. purpose 2021
Established in October. We are working to promote awareness and compliance with the Small and Medium Enterprise Agency’s Small and Medium Enterprise M&A Guidelines, support the development of M&A support personnel, and operate a complaint consultation desk related to M&A mediation. We are conducting activities that lead to solving industry issues and further improving quality, such as formulating and enforcing self-regulatory rules in three important areas of M&A support: advertising / sales, compliance, and explanation of important contract matters, as established as ethical rules. Masu.
As of August 2024, it is operated by a total of 107 companies, including 104 regular members (intermediary members and financial members), as well as three supporting members and three managing members.
In recent years, M&A has become widespread as a solution to the succession problem of small and medium-sized enterprises, and has also come to be used as a means of growth, but the existence of malicious transferee businesses (*) has become a problem. . Our association has been working to prevent damage to our client companies and their stakeholders by warning our members not to accept requests from or become involved with such malicious businesses.
As a self-regulatory organization in the M&A brokerage industry, the Association aims to further strengthen its efforts to prevent unfair M&A transactions, thereby ensuring the quality of M&A support and improving the credibility of the industry as a whole.
*Malicious transferee business operators: After acquiring management rights of the transferor company, they do not cancel the transferor’s manager’s personal guarantee, extract cash and other assets of the target company, and then leave the business as is. Refers to the transferee business operator who has disappeared or disappeared.
Two specific initiatives to prevent unfair M&A transactions
* ■Start of operation of “Specified Business Operator List” from October 2024* * -Mechanism of information sharing by malicious transferee businesses-*
The “Specified Business Operator List” is a secure system that allows members of the Association to inquire about information on malicious transferee businesses. If each member obtains information about a malicious transferee business, they will report it to our association. If our association determines that the transferee is a malicious business as a result of the examination, we will register the information of the relevant business on the “Specified Business Operator List.” Each member will be able to search and confirm this information, and it will be possible for each member company to use it as part of its checking function for transferee businesses.
Currently, we have over 100 member companies, and we expect to be able to cover information on many malicious transferee companies in Japan. It is scheduled to begin operation on October 1, 2024, and will be available to members who agree with the information sharing mechanism of specified business operators.
* ■Establishment of “Rules regarding information sharing mechanisms for specified business operators”*
* -Rules for members to execute appropriate M&A transactions centered on the “Specified Business List”-*
We have established the “Rules Regarding Information Sharing Mechanisms for Specified Business Operators” as rules similar to the “Self-Regulatory Rules” that came into effect in January 2024.
The purpose of this agreement is to ensure the execution of
appropriate M&A transactions, and to prevent members from engaging in unfair M&A transactions, centering on the above-mentioned “Specified Business List,” and to ensure that client companies and their interests These rules were established to prevent damage to people. Enforcement is scheduled for October 1, 2024, similar to the operation of the “Specified Business Operator List.”
Regarding future initiatives of the M&A Intermediary Association
Our association has been working with the mission of promoting fair and safe M&A mediation and contributing to the sustainable growth of small and medium-sized enterprises and the development and maintenance of the Japanese economy. Currently, there are 2,766 M&A support registered organizations registered with the Small and Medium Enterprise Agency, of which 1,482, more than half, were established in the 2020s (*), and the quality of M&A support is improving more than ever. I am in a situation where I am in demand.
As the number of members increases, our association believes that it is important to further improve the quality of M&A support for member companies and the industry as a whole, and we will ensure thorough compliance with the “Small and Medium Enterprise M&A Guidelines” and the “self-regulatory rules” established by the association. By doing so, we will ensure the quality of M&A support throughout the M&A brokerage industry and improve the reliability of the industry as a whole.
* Regarding the announcement of registered financial advisors and intermediaries related to the M&A support organization registration system (Small and Medium Enterprise Agency (August 20, 2020) (Public recruitment for 2020 [July])
M&A Intermediary Association Overview
Name: General Incorporated Association M&A Intermediary Association English name: M&A Intermediaries Association (MAIA)
Establishment date: October 1, 2021
board member:
-Representative Director-
Kunihiko Arai (Strike Co., Ltd.)
-director-
Ryosuke Kubo (ONDEC Co., Ltd.)
Shunsaku Sagami (M&A Research Institute Co., Ltd.)
Yasuto Shinoda (Meinan M&A Co., Ltd.)
Satoru Nakamura (M&A Capital Partners Co., Ltd.)
Takashi Miyake (Japan M&A Center Co., Ltd.)
-Auditor-
Attorney Yutaro Kikuchi (Kikuchi Sogo Law Office)
Location: 20th floor, Marunouchi Trust Tower Main Building, 1-8-3 Marunouchi, Chiyoda-ku, Tokyo
URL: https://www.ma-chukai.or.jp/
About M&A Research Institute
Company name: M&A Research Institute Co., Ltd.
Business content: M&A brokerage business
Head Office: 18th floor, Marunouchi Trust Tower N Building, 1-8-1 Marunouchi, Chiyoda-ku, Tokyo
Representative: Shunsaku Sagami, President and Representative Director URL: https://masouken.com/