Financial arrangements matched to each client’s needs
The investment banking division of the FGI Group takes control of clients’ financial situations and directs clients toward better management processes, and also provides financial arrangements and advisory services geared to respective client needs. Solutions for existing corporate management concerns are broad-based, beginning with proposals for fund procurement through asset finance and project finance using structured financing techniques, and extends to support for mergers and acquisitions and overseas market entry, both of which promote business development. This business segment is also involved in consultation services regarding business succession and business rehabilitation support for companies struggling to turn a profit.
|Financial Advisory Services||Financial advice|
Growth strategies advice
Business rehabilitation advice
|Financial Arrangement Services||Structured financial arrangements|
Corporate financial arrangements
Investment Banking Strengths
Key strengths brought to the investment banking business are a wealth of proven results from structured financing operations and solid financial support capabilities, which facilitate fund-procurement approaches fine-tuned to both debt and equity capital needs and help client companies to achieve their business development plans.
Steps are also being taken within the FGI Group to reinforce the overall arrangement function, to steer debt/equity funds toward client companies either directly or through the establishment of funds by taking advantage of a sizeable pipeline to financial institutions and investors at home and abroad.
Aggregate Arrangement Value of ¥ 684.2 Billion(Note), FGI Group Role in Real Estate Development Securitization
Of arrangements packaged by assigned members of the FGI Group, real estate development securitization arrangements are most noteworthy. The arrangement of financial packages on a development project basis allows developers to acquire funds beyond predetermined credit lines and limitations imposed by financial status, and thereby accelerates business growth.
FGI began putting together financial arrangements utilizing real estate development securitization in 2002, and by 2011 the aggregate value of this approach to fund-procurement had reached ¥684.2 billion (note).
Note : Type of financing that covers purchase of land and pays for costs during the development stage of a construction project. Includes contributions from originator.
Role of FGI Group: Arranging the whole deal, from inviting financial institutions to participate to adjusting the financial package to accommodate participants
- 1. Careful examination and analysis of risk (due diligence)
- 2. Adjusting participation based on risk-return considerations.
- 3. Basic framework formulation.
- 4. Adjusting participation when professional expertise is required from legal, accounting or taxation perspectives.
- 5. Inviting participation from financial institutions and investors.