The field of special assets is an enticing space. With the global economy experiencing a general slowdown and the profound impact of the pandemic, the issue of market asset stock has reached a massive scale. The disposal of non-performing assets has become a key global financial theme for 2023.
Under the influence of the global central bank tightening trend, the aftermath of the massive liquidity injection during the anti-pandemic measures is evident. In the macro-policy context of strong regulation, deleveraging, and breaking the rigid exchange rate, corporate bankruptcies have reached historical highs, and various types of non-performing assets are rapidly surfacing.
According to a report on the non-performing asset market released by Allianz, the "Global Bankruptcy Index" reflecting the trend of corporate bankruptcies has risen by over 21% this year (2023). The index covers 44 major global economies, accounting for 85% of the combined gross domestic product (GDP) of these economies. Half of these economies have recorded corporate bankruptcies exceeding pre-pandemic levels this year, and this ratio is expected to rise to 60% next year. In the entire year of 2022, the global disposal of special assets amounted to nearly 6 trillion US dollars, a growth of over 60% compared to the year before the pandemic in 2019.
Non-performing assets after the outbreak of the pandemic are mainly concentrated in private entities, primarily in low-capacity low-end manufacturing, construction, retail, and food services and tourism consumption.
The number of corporate bankruptcies in the three major global economies (U.S., China, EU) has become a phenomenon. The wave of closures has brought profound changes to the field of non-performing asset disposal: transaction volume has expanded, participants have increased, and the breadth of transactions continues to expand.
The rapid expansion of non-performing assets has driven the performance of companies handling special asset business to soar. This is not only a stage of industry integration but also a capital "harvesting period" that cannot be missed.
"We will not miss this opportunity; here is filled with exciting opportunities like the sky!" — Head of the Odyssey Capital Market Department!
We focus on the acquisition, mergers, disposal, and digitization of global special assets. As early as the point when the pandemic had just subsided in 2022, the Odyssey Capital team took a proactive approach, intervening in the acquisition and mergers of non-performing assets. In 2023, we also conducted a highly targeted business reserve upgrade for the non-performing asset business in special assets: we established the world's first physical asset equity digitization custody platform: U.SAEx, achieving borderless digitization of asset equity! Safe, efficient, stable, and transparent transaction and custody services are the characteristics of the U.SAEx platform; through digital technology and financial innovation, we provide a solution for global asset equity allocation, supporting the digitization of physical asset equity globally, and offering investors a broader range of investment opportunities.
For the latest information and market progress of Odyssey Capital, we will provide real-time updates through tweets. Currently, Odyssey's global non-performing asset acquisition and merger business is boldly advancing. This not only represents Odyssey Capital's strategic focus on the special asset industry but also signifies our commitment to delivering returns to investors.
Today, Odyssey Capital has over 200 professionals, including nearly 30 equity partners. Our branches are located in 11 cities worldwide, including London, New York, Los Angeles, San Francisco, Beijing, Shanghai, Hong Kong, Singapore, Kuala Lumpur, Tokyo, and Seoul, with business operations spanning the globe. In terms of special asset business reserves, Odyssey Capital has cooperated with the world's top three asset management companies, such as BlackRock, to securely control asset risks. We have also collaborated with PricewaterhouseCoopers for asset assessments and collaborated with several globally renowned investment firms to jointly seek high-quality assets for co-investment or independent investment. With the cooperation of Fidelity Investment Group in the United States, we jointly operate the acquired assets to maximize profits."