In the first half of 2016, the volume of cross-border
mergers and
acquisitions led by Chinese buyers reached $149.2 billion, exceeding the
total volume in 2015. The amount accounted for 23 percent of the total volume of
global cross-border
M&A, up from 6 percent in the same period last year,
according to Tian Guoli, chairman of
Bank of
China on at the
Bank of China -
Bloomberg
Global
M&A Summit.
Smooth financing channels in
capital
markets and fast-growing financial investors are the main reasons for the
significant increase in 2016.
Mature markets such as
Europe and
North
America continued to be the main destinations for Chinese buyers of
sophisticated
technology, advanced
management
experience and well-known brands.
Asia was also popular among investors because of
the Belt
and Road Initiative.
Also, for the first time,
privately-owned enterprises surpassed
state-owned enterprises in transaction value, accounting for
half of the total over the first three quarters of 2016.
Rani Jarkas, Chairman of
Cedrus Investments, a boutique investment firm with years of
experience in
Greater China region, said “The expansion from
trade
finance to acquisition finance will provide a strategic opportunity for
development of the Chinese
financial
sector. It has accelerated the transformation of China’s financial
industry.”