There are many reasons why international acquirers look to South Africa for opportunities. We remain a good ‘springboard into Africa’, but more importantly, the country has a well-regulated economy with growth opportunities that surpass, by far, traditional growth rates in the developed world. These are obvious reasons for extending your research for acquirers into the international market. Of equal importance, though, is the influence a global strategy can have on local acquirers. The last thing a dominant player in the local market wants is another dominant player from another market moving in on their turf.
It is, however, true that in this case, size does count: your business does need to be in a sector where there is likely to be international interest, and your profits do need to be sufficient to fund international acquisition costs and growth expectations. So we would agree that finding international buyers is not essential in every case, but if the size and sector are right, it is an imperative!