Daiwa Securities Targets 100 Billion Yen in M&A Revenue by 2031

Japan’s Daiwa Securities has set an ambitious goal to generate 100 billion yen (approximately $635.61 million) in merger and acquisition (M&A) revenue by the financial year ending in March 2031. This target surpasses the company’s existing aim of 70 billion yen and aligns with a significant surge in M&A activity within Japan, which saw a total deal value of around $319 billion for the year leading up to December 17, 2025. This figure places Japan’s M&A landscape just behind the record of $343 billion achieved in 2018, according to data from LSEG.

The increase in M&A activity comes as Japan emerges from a prolonged period of deflation. Companies are now more focused on securing better returns on their investments, which has led to a heightened interest in growth acquisitions, especially in international markets. In addition, long-awaited corporate governance reforms have attracted renewed interest from global investors, fostering a climate conducive to private equity transactions and greater involvement from activist investors.

Akihiko Ogino, CEO of Daiwa Securities, expressed optimism about the future of M&A in Japan, stating, “Tokyo will become the starting point for cross-border M&A.” This sentiment was echoed in an interview with Reuters, where Ogino elaborated on the establishment of a dedicated M&A team in Tokyo, which currently comprises six members. This move is part of a larger strategy to bolster Daiwa’s international operations.

Daiwa has also embarked on a significant hiring initiative aimed at expanding its M&A workforce. Currently, the firm employs around 640 people in this sector, with plans to increase that number to 900 by March 2031. Despite the record revenue of 59 billion yen achieved in the year ending in March 2025, the recruitment efforts have temporarily restrained M&A-related profits.

Ogino remarked, “We’re now entering the harvest phase,” indicating that Japanese firms are at a critical juncture where they must make more decisive moves than ever. The current economic environment, coupled with the ongoing reforms, positions Daiwa Securities to play a pivotal role in the burgeoning M&A landscape in Japan and beyond.