Facing Challenges with Equipment Due Diligence When Acquiring a Japanese Company?

When evaluating a potential acquisition in Japan, many overseas companies feel confident conducting financial, legal, and commercial due diligence.
However, one question often remains unresolved:

“What about the machinery and equipment inside the factory?”

Understanding the true condition of production assets can be difficult for foreign buyers.
Common challenges include:

  • No clear information on the age or remaining life of key equipment

  • Limited visibility into maintenance practices in place

  • Uncertainty around actual operating conditions and utilization

  • Asset registers that do not fully match what exists on-site

  • Difficulty forecasting future CAPEX after the acquisition

Yet these factors directly influence production stability, quality, integration planning, and long-term investment requirements.

How We Help

At Phantom Asset Valuation, we support overseas companies by conducting on-site equipment investigations at Japanese factories.
Our review typically covers:

  • Equipment condition and operational status

  • Maintenance history and servicing practices

  • Remaining Economic Life (REL)

  • Accuracy of asset lists and installed equipment

  • Short- to mid-term CAPEX forecasts based on actual equipment conditions

We provide clear, English-language findings that can be integrated into your financial DD, valuation models, and post-merger planning.

If You’re Preparing to Acquire a Japanese Company

If machinery and equipment are important to your evaluation—but you feel uncertain about how to assess them in Japan—we can help fill that gap.

For inquiries, feel free to contact us:
info@phantom-gp.com