Welcome to the October issue of International M&A’s newsletter.

First, we appreciate your support regarding our recent special announcements. Over 15,000 subscribers in 80+ countries received our latest communications and many of you reached out with positive and encouraging feedback. As a result, we plan to share more personal views and perspectives on the world’s economic and business environment via our newsletters and speaking engagements. Our goal is to keep connected and engaged with our like-minded contacts around the world.

In this issue, we are sharing insights into the international markets. We welcome your comments and look forward to sharing more in the coming months.

Business Update: 

Did you know we speak at meetings, conferences, and events around the world? At these engagements, I have been sharing PRACTICAL insights and REAL-LIFE experiences learned throughout my career and life. There is an increased interest in discussions on US-China trade, cross-border M&A, doing business in foreign countries, inspirational/self-development and diversity. Interested? Please contact Frieda, CMO.

What Are We Looking For? Earn a Referral Fee.

  • US or EU pharma and medical device companies with post-FDA or post-CE drugs and medical devices looking to enter the China market.
  • Fast-growing companies seeking capital: companies with a good market value proposition, a defined targeted market, and a mature management team with a proven track record and strong industry operational background. The key management team must share the key beliefs as described in the FAQs below. Our investors are like-minded institutional investors, fund managers and family offices in the US, China, the Middle East, and Europe.
  • Speaking engagements for May 2020 and beyond.

FAQ:  What kind of companies do you work with?

We are a group of globally focused entrepreneurs. The executives and investors we work with are those who share the same business philosophy. What do we look for?

  1. Sales can solve 90% of business problems. We are extremely focused on the sales activities of companies with whom we work: sales KPI, sales compensation, sales strategy, sales training program, and technology along the sales process. For companies looking to “upgrade” its sales department, we offer sales department consulting.
  2. Cash is KING. Ninety percent of bankruptcies are due to cash flow issues. We believe real business should generate meaningful, sustainable operating cash flow. With this, we are more fit for post-revenue companies with a clear roadmap to generating explainable operating revenue from clearly defined target markets and value propositions. We often help companies optimize their payment terms and credit & collection process to solve cash flow issues, without going to banks or investors.
  3. Experience matters. We always look for a strong management team with a proven track record. We believe only solid executions can actualize the dreams, plans, and strategies. We have seen hundreds of beautifully designed business plans around the world, many with famous advisors and compelling stories. However, delivery via execution has been challenging. Working through trouble often requires real-life experience and mental toughness which only can be acquired via experience.
  4. While society is entering industry 4.0 and most people are familiar with buzz words like artificial intelligence (AI) and machine learning (ML), many businesses are in technology 2.0, 1.0, or even ground 0. To compete in a heated market, you must apply technology into daily operations and make it work for you, instead of being worked out by technology.

International Market Update: Things that caught my eye

Each day we work with people in all parts of the world. Our goal is to be aware of the global movement, to assist our clients in capturing the right opportunities, and to get them to a new foreign market with peace of mind.

Capital Markets

The London Stock Exchange rejected the Hong Kong stock exchange but entered an agreement with the Shanghai Stock Exchange.

Brexit and US-China Trade

Brexit and US-China trade has resulted in geopolitical uncertainty affecting many businesses in many different countries. For business owners and executives, some wait and see while others take actions to keep the business running, regardless of the possible changes.  The question we often ask: are these issues relevant to my business? If yes, how will we be impacted? If beneficial, enjoy the ride; if not, how do we minimize damages?

Like many US-China service providers, our business has been negatively impacted by the recent US-China policy issues, despite being positioned as a global company. How do we react? With a firm belief that the US-China trade issue is temporary, we follow the market. Many of the Chinese companies we follow have moved their deal flow to Europe, while others took a detour to southeast Asia. We follow the market and go where the clients go. See you in Vietnam in November.

Pharma

Africa becomes the fastest growing pharma market in the world. Read more…

Airline

Russia Creates Aircraft Leasing Company with German and Saudi’s Help

Russiabusinesstoday.com, October 15. 2019: A consortium of investors, including Russia, Saudi wealth funds and Germany’s KGAL group, has announced the creation of an aircraft leasing company for Russian airlines. RBC reported the Russian Direct Investment Fund (RDIF), the Public Investment Fund (PIF) of Saudi Arabia and Germany’s KGAL, have announced the creation of ROAL – a company strategically focused on becoming “a leader in aircraft leasing in Russia.” Read more…

FinTech

PayPal to Enter China Market Through Local Acquisition

Despite the US-China trade issue, PayPal will be entering the China market as it acquires a 70% stake of GoPay Information Technology. How can PayPal enter the lucrative market while other companies use the US-China trade issue as a reason to not make a move? We do not see many companies truly impacted by the trade war. It seems as if fear continues to drive the decision-making process. It takes courage to act. Read more…

Real Estate:

SoftBank Considers $1B WeWork Investment

A tumultuous week for WeWork will bring more investment money for the office-sharing firm as SoftBank Group considers investing $1B following WeWork’s stalled IPO. How did WeWork operate like this for so long and just now uncover these issues? And just as important, how many similar investments does SoftBank have in its portfolio? Remember to always do a reality check on basics (revenue, EBITDA, executive compensations, etc.) and engage an auditing firm to make certain the financials are correct as opposed to doing whatever for the sake of sales and revenue. Read more…

 International Community Highlights

Columbia University with Yaqin Zhang, Former President of Baidu, and Dr. Martin Lee Chalfie, Nobel Prize winner and Columbia University professor

It was a Saturday afternoon full of wisdom as several world-class scientists gathered at Columbia University to discuss the road to the Nobel Prize, artificial intelligence and life as a scientist. The NYC Chapter of the Chinese Association of Science and Technology hosted Zhang Yàqín, recently retired president of Baidu (China’s largest search engine); Dr. Martin Lee Chalfie, Nobel Prize winner and Columbia University professor; Dr. Haifan Lin, Yale professor and founding director of the Yale Stem Cell Center; and Dr. David Ho, founding scientific director of Aaron Diamond Research Center and Rockefeller University professor.  Read more…

Roundtable Discussion with Dubai International Financial Centre (DIFC) and NASDAQ

NASDAQ hosted top financial business leaders from the United States and DIFC to discuss future business opportunities between the two regions. I appreciate the opportunity to join the discussion through the invitation of Arif Amiri, CEO of the Dubai Government – Dubai International Financial Centre (DIFC) and Adena Friedman, president and CEO of Nasdaq. Read more…

Money 20/20, the Largest FinTech Conference in the USA

Money20/20 is where the payments, FinTech and financial services ecosystem unite to create and explore the disruptive ways consumers and businesses manage, spend, and borrow money. It’s the premier global event on the industry calendar where C-level executives, renowned speakers, innovators, and disruptors from across the world unite to drive change in the future of money. Read more…

Horasis China Meeting 2019

More than 300 participants from business and government convened in Las Vegas on October 28th to participate in an intense two-day program designed to cover opportunities and challenges that Chinese firms need to identify and address successfully as they engage globally. It was a pleasure to share our first-hand experience as a member of the panel discussion, China Overseas Investment. Read more…

Join the Discussion:

We need your help in building this community together. If you would like to contribute your thoughts, events, or ideas, please email [email protected].

Click here to learn more about M&A International, or contact us to learn how we can assist you in your cross border M&A or divestiture activity.