A Message from Eric Morazewski

July 2014

Welcome to the first monthly newsletter from FDI Strategies, LLC.  We are excited to detail a number of our recent successes and to share some of the upcoming developments within the company.  This is truly an incredible time to be at the helm of such an amazing organization.  

At the time of the company’s conception, there was a true void in abilities, understanding and cultures surrounding transitioning and seeking new prospects to and from the Chinese marketplace.  There was an untapped opportunity middle market enterprises who wanted to explore business beyond the Chinese borders. These companies were seeking new technologies, new sales channels, new market growth, which are the very same things any growing American company would seek; however, we found there was no one to assist in growth for this international niche.  Naturally there were more options for companies who were targeting a billion dollar transaction, who were likely being courted by the likes of Houlihan Lokey and the other large M&A advisory firms.  However, there were unmet needs for the thousands of middle market companies that sought $40 million or $50 million acquisitions or small joint ventures.  These transactions, typically serviced by a variety of smaller M&A advisors in the US, were ignored or underserviced as most of the US advisory firms did not have an overseas office, especially not in China and there were not experienced Chinese advisors to adequately assist companies either. 

 FDI Strategies, LLC was established to service this unmet market demand.  We’ve been greeted with immediate success further solidifying our position that we have a much needed business model.  Our prestigious client list in China includes working with companies like the Zhongnan Group, BeiBen Trucks Group and Jasic Technologies.  In addition, we have also began working with several US companies who are eager to enter the Chinese market.  Certain technologies and initiatives are of utmost importance to the Chinese and we continue to monitor and seek out new opportunities.  For example, the air pollution problem there is of utmost concern, yet we have seen the Chinese government only recently put forth an agenda of Two Trillion RMB (roughly $650 billion) to solve the many issues they face with water pollution and the lack of fresh water (China has roughly 20% of the world’s population, yet only 7% of the world’s fresh water, compared to the US which has less than 5% of the world’s population, but over 40% of the world’s fresh water).  FDI Strategies, LLC has the right background and resources to tackle these types of issues as they relate to our clients.  

We are continuously encouraged by the Chinese government’s actions to loosen their controls over the RMB, which allows for a more free flowing currency and easier access for clients going both into and out of China.  Processes that used to take months can now be completed in a number of days.  All of these actions, such as the Free Trade Zone in Shanghai and the most recent five year plan requiring growth beyond the Chinese borders, make our ability to operate extremely well timed.  Yet we are cautious with our growth by only selecting clients that make sense for the US or China market entry.  We remain committed to ensuring that our goals and those of our clients are well aligned to create the best possible business outcome for all parties.

 I greatly appreciate all of your support, whether as an investor, a client, a current or future partner or simply a curious onlooker interested in the growth of new markets.  We encourage all of you to reach out and discuss any thoughts you have and welcome the opportunity to work with you in the future.  I personally can be reached at Ericm@fdistrategies.com and look forward to hearing from you and I also encourage you to sign up our monthly Newsletter by clicking the button below.