Every week, in collaboration with LISTING, an M&A matching platform for small and medium-sized enterprises, we report on newly listed assets and acquisition demand in the domestic M&A market. By examining the background of deals and market trends, we provide practical market information to companies and investors considering M&A. [Editor’s Note]

[E-Daily Marketin Reporter Song Seung-Hyeon ] Companies in the long-term care and medical services sectors, as well as seafood-based food distribution and processing firms, have been listed for sale one after another in the domestic mergers and acquisitions (M&A) market. Facility management service providers and construction firms have each begun actively searching for acquisition targets, aiming for “bolt-on” acquisitions within their respective industries and entry into the manufacturing sector, respectively. Amid the recent market trend of prioritizing proven cash flow and business synergies over mere revenue growth, there is a parallel trend of demand for domestically focused targets with stable performance and strategic acquisitions aimed at expanding core business operations.

According to LISTING, an M&A matching platform, Company A, a long-term care and medical services firm with annual revenue in the 3 billion won range, is seeking a buyer. Company A is a business where assets constituting barriers to entry—such as licenses, facilities, and operational staff—form the core of its sale value; the asking price is around 6 billion won. It is considered a suitable acquisition target for strategic investors seeking to enter the healthcare sector—where demand is structurally increasing due to an aging population—as well as for bolt-on acquirers looking to expand the regional coverage and facility capabilities of their existing long-term care and medical businesses.

Another asset up for sale is Company B, a food distribution and processing firm with annual sales in the 9 billion won range. As a performance-driven asset generating steady operating profits, the asking price is around 5 billion won. Its core assets include a procurement and sales network focused on food ingredients—such as seafood—and its established customer base. Given its strong characteristics as a essential consumer good—relatively insensitive to economic fluctuations—it is assessed as having appeal to distribution companies in the same industry seeking to expand their food ingredient distribution networks, as well as catering and foodservice operators, and financial investors who prefer stable cash flow.

Acquisition demand is also taking shape. Company C, operating in the facility management services sector, has allocated an acquisition budget of up to 30 billion won for companies in the same industry, such as cleaning and building management firms. Having completed the succession of its family business, the company is now seeking to secure economies of scale through M&A within the industry. Given the nature of the facility management business—where profitability improves as managed area and workforce expand through bolt-on acquisitions—Company C is classified as a strategic buyer.

Company D in the construction sector is also considering the acquisition of a manufacturing firm that owns its own factory. It is seeking a company with annual sales in the tens of billions of won and stable profit margins, with a deal size estimated at around 10 billion won. The company plans to give preference to firms with exportable product lines, a move interpreted as a business diversification strategy aimed at securing a stable cash cow to offset the volatility of construction project orders.

Industry observers expect this two-way market revitalization—driven by both supply and demand—to continue for the time being. Amid growing strategic acquisition demand that focuses on proven operating profits and synergies with core businesses rather than mere scale or growth narratives, a rise in cross-sector deals spanning long-term care, food, facility management, and manufacturing is also cited as a key feature of the recent market.

A LISTING official stated, “The more specifically an acquirer outlines their acquisition objectives, budget, and target criteria, the higher the likelihood of a successful transaction,” adding, “Matching activity is expected to remain robust in the second half of the year, centered on small- and mid-cap companies with strong earnings.”

Detailed information on available companies and acquisition demand can be found on LISTING.