Japan's M&A market is standing out against a worldwide decline this year, thanks to surging domestic deals as rising costs, stricter governance rules and shareholder pressure force companies to explore strategic options. Total value of M&A transactions involving Japanese companies grew 14% year-on-year to $111 billion for the first nine months of 2023, making the country the only major market in the world that recorded growth, according to data compiled by LSEG. The momentum is expected to continue in the near-term as prospects of more corporate restructuring, carve-outs and management buyouts make it a favoured hunting ground for global private equity.