According to The Australian Financial Review, top investment bankers at JP Morgan and Deutsche Bank say Japanese raiders will continue to target Australia in 2020 as they look internationally for revenue growth.
"Japan domestically has a market driven by an ageing population, where they're finding organic growth in the domestic market to be challenging," said Alex Cartel, Deutsche's head of local investment banking.
"The best way to increase revenue growth, clearly they've formed the view, is to grow via outbound M&A."
Mr Cartel, who also noted capital was far cheaper in Japan than most other countries, said these themes already materialised in aggressive bids for Carlton United Breweries and Dulux Group over 2019.
The plays – from Asahi Group and Nippon Paint, respectively – were collectively worth almost $20 billion. But Mr Cartel said this is just a sign of things to come.
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