Inquiries
E&E Solutions Inc.
Business Description

Due Diligence for Mergers and Acquisitions (M&A), etc.

We have been involved in environmental due diligence since the early 1980s. We have extensive experience in this field and continue to work with numerous overseas environmental consulting firms. These attributes allow us to provide our services smoothly even when projects are located abroad.
Home > Business Description > Assessment > Due Diligence for Mergers and Acquisitions (M&A), etc.

Markets and Trends

Each year, the number of mergers and acquisitions (M&A) undertaken to expand business, create spin-offs, reorganize corporate groups, and merge businesses increases. Demand for our environmental due diligence services in the M&A process is increasing in step with this trend.
In recent years, we have also been receiving more and more inquiries concerning not only the environment but also ESG, the Sustainable Development Goals (SDGs), and social due diligence.
01
Environmental due diligence
Environmental due diligence mainly concerns checking and quantitatively assessing compliance with environment-related laws and regulations as well as items considered environmental liabilities (such as soil and groundwater contamination, PCBs, and asbestos).
If a problem is identified through environmental due diligence, it becomes necessary to take this into account in negotiations of contract terms during the negotiation period and to reflect the costs of countermeasures and improvements on the acquisition price.
We propose the best study methods and conduct precise risk assessments based on our extensive experience and track record.
Service Examples
Environmental due diligence associated with a merger of Japanese electronics manufacturers (Japan, China, Taiwan, and the Philippines)
Environmental due diligence associated with the acquisition of a Japanese chemical company (16 countries, including Japan, United States, China, and the Netherlands)
Environmental due diligence associated with the acquisition of a Japanese automobile parts manufacturer (14 countries, including Japan, United States, Brazil, and South Korea)
Environmental due diligence
During the process for an M&A or other such transaction, the prospective buyer normally verifies the seller’s corporate value and checks for any “red flags” (a serious problem that would terminate consideration of the M&A).
This is referred to as “due diligence.” Due diligence is usually concerned with legal matters, financial/tax matters, and business. However, when a target company comes with high environmental risk, such as a company in manufacturing, assessing the deal from an environmental perspective through environmental due diligence is essential.
02
Social due diligence
Social due diligence involves assessing a company’s human rights and labor policies, supply chain management, conflict minerals procurement policy, reputational problems, complaint processing, and other matters primarily through desktop studies (e.g., document reviews, telephone interviews, etc.).
Most problems identified in the results of social due diligence are attributable to inadequate policies or management structures, and the costs for responding to and rectifying them are mainly handled as internal management costs.
Service Examples
Environmental/social due diligence associated with the acquisition of a Japanese metals manufacturer
Environmental/social due diligence associated with the acquisition of a Vietnamese food manufacturer (Vietnam)
Environmental/social due diligence associated with the acquisition of a Japanese precision equipment manufacturer (Japan, United States, and Poland)

 

CONTACT

Please feel free to make inquiries by telephone or email.
+81 (0)3 6328 0080Inquiries are accepted between 10:00 am and 5:30 pm, Monday to Friday