JCINUS provides a global M&A deal origination service.

We are specialised in discovering promising Korean companies, for clients wishing to advance into Asia.

Introduction of our M&A deal origination service

M&A deal origination

As the low interest rate has been around for a long time, the M&A market is overflowing with capital rather than investment assets and heated up. In this circumstance, you can’t raise an M&A success rate by acquiring a target company that anyone can access. Only a differentiated M&A deal origination is one of the ways to generate α returns.

We have been sourcing deals ranging from $5 million to $100 million with our pipelines.

  • Bio / food / auto parts in Europe
  • Logistics / packaging / pharmaceutical / construction / dairy business in Asia
  • Defense business in Israel
  • Consumer products / data mining / beauty / distribution business in the US
  • And consumer goods / auto parts / IT / and many other technologies in Korea

We have been discovering suitable investment targets according to our clients’ needs.

M&A deal originations are a fairly time and effort consuming task. Nevertheless, it is the first and most important job in the takeover process.

“Our clients will achieve synergistic portfolio expansion through our M&A deal origination service.”

M&A deal origination process

JCinus has established robust pipelines between Korea and Europe through our offices in Korea and the UK.

  • We can obtain information on matched M&A candidates in the sectors targeted by our clients.
  • We update the wish list of targets by screening and filtering.
  • Then, we contact the targets in order through our own pipelines.

 

Our linked services with the M&A deal origination are as below.

Our Linked Advisory Services

M&A deal sourcing

Target company valuation

Reasonable valuation is fundamental to negotiation.

JCinus, which has conducted corporate valuation in various fields, performs a stress test by analysing the factors that would influence the sales increase or decrease in the future.

That provides a basis for deal negotiation and also helps identify post-acquisition risk factors and plans to mitigate.

Due diligence on a target company

Due diligence is not only a company-wide analysis but also a task to discover what to discuss in negotiations.

It is necessary to select the data room to be analysed, conduct Q&A with the right people for critical issues, and identify key personnel and establish a plan to prevent them from leaving the company.

By organising and doing all of this, our clients can mitigate the M&A risk.

PMI planning

It is difficult to close one M&A deal, but it is even more difficult to increase the target company’s value after acquisition.

During the DD, we organise a PMI plan and value up strategies to get quick wins within the 100 days after acquisition.

It will reduce the confusion time caused after M&A and significantly increase the integration success rate.

Capital raising

JCinus can find financial or strategic institutions when our clients need more financing for the acquisition.

If necessary, we establish a unique capital structure to double the leverage effect that allows clients to do larger deals than equity capital.

M&A financing

Capital raising structure sample

 

 

M&A deal origination service procedures

Please contact us through the message box if you have any questions or requests for our M&A deal origination service. We will contact you shortly.

deal sourcing company

Work procedure

Step 1: Service inquiry

Please let us know your questions about our M&A deal origination or related issues in the message box. We will contact you shortly.

Or send directly to: admin@jcinus.com

Step 2: Discussion of the job scope and fees

The advisory fee is calculated considering the sector and business our clients are targeting and related conditions. The fee is divided into retainer fee and success fee.

Depending on the deal size and job difficulty, the retainer fee is decided between £6,000 ~  £10,000, and the success fee at 1.0% ~ 1.5% of the deal size. (excluding VAT)

There are two methods of payment: credit card payment on this site and bank transfer.

Step 3: Advisory agreement

We get into an ‘advisory agreement’ when all terms and conditions are agreed upon between us.

In principle, the retainer fee should be paid immediately after the contract is signed, and the success fees within two weeks after signing the acquisition contract for the target company.

Step 4: Commencing our M&A deal origination

After signing the contract and being paid the retainer fee, our service begins.

In general, we organise a list of candidates together with our clients and then operate several pipelines to start discovering the targets.

Step 5: Provide linked services

We can provide linked services under a separate contract when our clients need additional advisory.

These include corporate valuation, DD for the target company, PMI planning during the DD, and acquisition financing from external financial institutions.

Step 6: Upon completing the deal

The client must pay 1% ~ 1.5% of the deal size as a success fee within two weeks after the end of the deal.

And the contract ends.

Message box