Nikkei Chinese Edition recently reported from Hong Kong that, according to statistics provided by U.S. market research leader Dealogic, Chinese overseas acquisitions saw a significant decline in the first half of this year. The total acquisition value between January and June was US$24.5 billion, which represents a 42 percent decline. And it’s only worth twenty percent of the peak time value in 2016. In the first half of this year, China had a total of 251 overseas acquisitions, which is a five-year low. The highlights of these deals were the five percent shares of Daimler Germany (US$2.7 billion) and the merger with French chip maker Linxens (US$2.6 billion). Analysts said the sharp decline was mainly due to tightened regulatory and administrative restrictions in the EU and the U.S., as well as China’s increased restrictions on capital outflow. More Chinese capital is heading to Southeast Asia, Africa and Russia. Nikkei is the world’s largest financial newspaper.
Source: Nikkei Chinese, September 5, 2019