• Service: Advisory, Transactions & Restructuring, Corporate Finance
  • Industry: High Growth Markets, Investment Management
  • Date: 10/15/2010

Emerging market acquisitions in developed economies 

This paper explores how leading emerging market companies approach and view their acquisitions in developed markets, and how this contrasts with a typical ‘Western’ view of cross-border acquisitions.
A new paradigm shift is taking place in the global arena. Globalization used to be a one-way highway, with developed countries investing and acquiring assets in emerging markets and at the same time importing products and services from these countries - but not anymore. Western countries have become an attractive investment destination for emerging market companies, which are entering developed markets through acquisitions, stock exchange listings, and other means. In the wake of this phenomenon, it is interesting to explore how this role reversal is being played out. What are the issues and opportunities arising from this paradigm shift and what lessons can be drawn from the past few years of experience?

This paper illustrates this recent phenomenon and explores the challenges, opportunities, and strategies that emerging market companies deploy in their pursuit of inbound investments, as well as lessons to be learnt from their experience.