Commencement of M&A intermediary adviser business

December 13, 2007

Bluestar Corporation (Shibuya-ku, Tokyo; Capital: 40 million yen; XX Sakamoto, President) today announced plans to launch M&A intermediary adviser services exclusively for the IT industry, which is currently in a period of substantial industry realignment.

PC usage is undergoing a shift away from a focus primarily on physical software packages to software as a service (SaaS) and other service formats. As a result, R&D-driven industries are now transforming into equipment industries, where capital strength is crucial. Ultimately, this process has spurred an increasingly vigorous shakeup within the affected industries. While this has triggered a round of M&A activity, direct talks between firms can in many cases put the selling party at a disadvantage. A situation that has heightened the need for advisory services among potential sellers.

Moreover, there is a shortage in the M&A market of human resources capable of performing business due diligence with respect to the intangible assets that comprise the IT field. Ultimately, this means that the proper evaluations required are simply not done. Bluestar Corporation can meet these needs by bringing to bear 20 years of industry experience and an extensive information network (including overseas contacts). Based first and foremost of proper business due diligence, we strive to achieve the most appropriate business evaluations possible. Having initiated a test entry into this business, including market surveys, eight years ago, we have now decided to begin full-scale operations in this area.

With a team of experts possessing a wealth of IT industry information, as well as specialists in small- and medium-sized enterprise diagnostics now assembled, we are fully ready to receive client inquires.