A record-breaking transaction volume of $350 billion has boosted optimism in the outlook for Japan's mergers and acquisitions market.

As December comes to a close, the transaction volume involving Japanese companies has reached nearly $350 billion, setting a new record. Corporate governance reforms are transforming Japan into a vibrant "beehive." Major conglomerates are shedding non-core assets, while private equity firms are eager to deploy capital. Japan is experiencing a wave of mergers and acquisitions. Typical cases include Mitsubishi UFJ Financial Group acquiring 20% of India's Shriram Finance and Nippon Telegraph and Telephone Corporation purchasing NTT Data Group for over $16 billion.