In 2025, Japanese corporates executed 35 cross-border M&A transactions in the financial services sector across the Asia–Pacific region. Activity spanned auto finance, digital financial services, payments, digital assets, and life insurance, reflecting a diverse set of strategic priorities shaped by varying economic and regulatory environments across the region. ASEAN markets recorded an accelerated convergence between financial services and digital platforms, while Korea saw increased activity in digital‑asset infrastructure and Vietnam attracted investment into insurance. Taken together, 2025 highlighted a clear shift toward platform‑based financial integration and selective entry into next‑generation financial infrastructure.
India: Multi-channel connectivity to the financial ecosystem advanced by a series of megabank investments
In India, Japanese major financial institutions executed capital participations and acquisitions in the same year. SMBC Group acquired shares in the private commercial bank YES BANK and invested approximately JPY 240 billion to make it an equity-method affiliate. Mizuho Securities acquired over 60% of Avendus Capital, a diversified financial services firm, thereby securing access to an investment banking platform spanning equity financing, private equity advisory, and wealth management. MUFG Bank invested 20% in Shriram Finance Limited, a leading non-bank, strengthening its connection to a broad-based credit supply system that covers consumers and SMEs. By simultaneously connecting to distinct channels—banking, investment banking, and non-bank—Japan’s major banks have reached India’s financial ecosystem in a multi-faceted manner, marking a symbolic step-up in the deepening ties between Japan and India. Against the backdrop of India’s substantial credit demand and expanding capital markets, complementary functions across lending, markets, and advisory are beginning to operate in tandem, and further acceleration in deal origination is expected.
Singapore: Integration of Mobility Services and Financial Offerings
Singapore continued to advance the integration of digital platforms and financial services. Sumitomo Mitsui Auto Service (SMAS) invested in Tribecar, a car‑sharing and rental platform, with the objective of expanding financial functionalities across mobility services—including payments, subscriptions, and leasing. Singapore’s regulatory environment, which is highly supportive of financial digitalisation, enables seamless integration of mobility and finance, making it an attractive market for Japanese corporates expanding platform‑embedded financial solutions.
South Korea: Access to Digital‑Asset and Next-Generation Financial Infrastructure
South Korea strengthened its position as a leading jurisdiction in digital securities and crypto‑asset regulation, attracting targeted Japanese investment. GFA invested in BDAN, a digital‑asset exchange, securing access to infrastructure related to digital securities and crypto‑asset trading. Investment in Korea was characterised less by traditional financial services and more by next‑generation financial infrastructure, illustrating the strategic importance of regulated digital‑asset platforms for Japanese financial institutions.
Indonesia: Financial Inclusion and Digital Banking Continue to Drive Growth
Indonesia remained one of the region’s fastest‑growing markets for digital financial services, driven by a young population and rapid e‑commerce penetration. Independent VC firm W invested in Youji Bank, an online bank serving migrant workers, strengthening access to the country’s financial‑inclusion ecosystem. With rising account‑ownership rates and accelerating digitalisation in payroll and remittances, Indonesia continues to present compelling opportunities at the intersection of financial services and daily‑life infrastructure.
Malaysia: Expansion of Auto Finance Platforms and Integrated Mobility Solutions
Malaysia experienced continued development in auto finance, particularly in connection with online used‑car platforms. JACCS invested in Carsome Capital, the financing arm of Carsome, the leading used‑car e‑commerce platform in Southeast Asia. As automotive e‑commerce expands, business models integrating vehicle transactions, credit evaluation, and payments gain importance. For Japanese financial institutions, such investments offer entry into a growing ecosystem where mobility and credit provision are tightly interlinked.
Thailand: Strengthening of Used‑Car Finance and Dealer‑Focused Financial Services
Thailand remained active in automotive finance. Itochu Corporation and Premium Group jointly invested in Eastern Commercial Leasing (ECL), expanding their financial‑services platform in one of ASEAN’s largest used‑car markets. Thailand’s sizable car‑production base and well‑developed secondary‑market structure create attractive conditions for auto‑finance portfolios with stable margins. The investment reflects a deliberate effort to deepen presence in a high‑volume, credit‑driven market.
Vietnam: Strategic Entry into Life Insurance and Expansion of Financial Services
One of the most emblematic transactions in 2025 was Asahi Mutual Life Insurance’s acquisition of MVI Life from Canada‑based Manulife Group. The transaction—valued at approximately USD 170 million, with MVI Life’s 2024 net assets at USD 134 million and premium income at USD 93 million—marked Asahi Life’s first acquisition of an overseas life‑insurance business. The deal represents a strategic move to secure a long‑term growth axis outside Japan, where the domestic life‑insurance market continues to mature. Vietnam’s low penetration rate and strong demographic fundamentals make it one of the few Asian markets offering significant medium‑ to long‑term expansion potential.
Notable Transactions in 2025
- Sumitomo Mitsui Auto Service (Singapore): Invested in Tribecar to integrate mobility and financial services.
- GFA (South Korea): Invested in BDAN to access digital‑asset and digital‑securities infrastructure.
- JACCS (Malaysia): Invested in Carsome Capital, expanding auto‑finance capabilities within used‑car e‑commerce.
- Itochu Corporation & Premium Group (Thailand): Invested in ECL, strengthening used‑car finance in a major ASEAN market.
- Asahi Life (Vietnam): Acquired MVI Life from Manulife for approx. USD 170M, marking its first overseas life‑insurance acquisition.
Structural Insights from 2025: Themes Shaping APAC Financial Services M&A
Four structural insights emerge from the 2025 landscape.
First, the integration of financial services and digital platforms gained strong momentum. Investments were directed toward mobility apps, e‑commerce platforms, and digital‑content companies where payments, lending, and subscription models can be seamlessly embedded.
Second, financial inclusion and fintech continued to drive growth across ASEAN and India. Expanding digital banking and rising demand for accessible credit created investment opportunities in Indonesia, Malaysia, and Thailand.
Third, markets such as Korea and Taiwan—with more sophisticated regulatory regimes—became focal points for next‑generation financial infrastructure, including digital assets, online brokerage platforms, and API‑driven financial architecture.
Fourth, investment rationales diverged by market type: high‑growth ASEAN markets prioritised expansion; regulatory‑advanced markets like Korea prioritised infrastructure access; and tightly regulated markets such as China saw more selective, complementary investments.
Related Links
[Full Report] APAC Cross-Border M&A Review 2025–2026: The Definitive Edition (All Sectors & Regions)