Second OBOR Breakfast Meeting

06 September 2017 14:06 | Anonymous member (Administrator)

ATTA members convened at Beijings Capital Club on September 6, 2017, for a breakfast and discussion about opportunities for transformation and turnaround professionals in Chinas One Belt One Road Initiative, now including up to 60 countries. The general consensus is that Chinese state owned enterprises will get the major infrastructure contracts to build roads, ports, railways, etc., but each country will insist on operating and servicing the infrastructure once built.

So ATTA members will have two types of opportunities:

  1. To advise national operating companies. This means understanding the operating and political dynamics of a vast array of countries from Cambodia to Iraq. Very few people have these skills, but many ATTA members have the breadth of management experience to advise on these operations.

  2. The second opportunity is to provide turnaround and transformation services to the specialized banks being established to provide OBOR funding, particularly in China. The new will banks need project support to assure that loans are being used effectively, and to optimize the possibility of an eventual return on investment, or at least a favorable political result. Many of these banks will hire large firms, but Chinese companies and banks are not known to warmly welcome the large fees imposed by larger accounting and turnaround firms, where even for relatively small deals, service charges and fees in the mid to high hundreds of thousands of dollars are charged. So, ATTA members have an opportunity.

Both types of opportunities will be furthered by advertising ATTA into SOEs and the new OBOR investment banks, and building personal relationships in Beijing and Shanghai were the new OBOR banks are located. This opens up a variety of opportunities for individual practitioners, but also to individuals and mid-sized accounting and law firms partnering to compete, as China based companies and practitioners, against the large international entities.

ATTA members interested in OBOR should watch the ATTA website for developments. OBOR is a sales opportunity. So we need to approach servicing OBOR as a major account sale, using well known tools to track the opportunities and win business.

Bob Fonow 

© Asia Transformation & Turnaround Association Limited

or follow us on LinkedIn
Powered by Wild Apricot Membership Software