The total value of mergers and acquisitions (M&As) in China’s technology, media and telecommunications (TMT) sector shrunk by 50% in the first quarter, which could augur badly for deal-making in the industry for the rest of this year, according to Mergermarket. There were 54 China-related TMT deals worth USD8.8 billion recorded in the first three months of this year, down from 60 transactions totaling USD17.5 billion in the same period last year. The top 5 Chinese buyers in the TMT field include GigaDevice Semiconductor, Tianjin Yingrui Huixin Corporate Management, Wolong Real Estate Group, and Sunbird Yacht. “That drop-off in both the number and size of deals in the first quarter is a reflection of China’s more stringent capital control, which has been implemented since late November last year,” said Mergermarket Financial Researcher Sophie Jin. “There is a probability that China-related technology, media and telecoms deals in 2017 would see their lowest level in years.” Jin added, however, that transactions involving the semiconductor industry may be less impacted by the government’s capital controls since expansion initiatives in this field form part of the country’s national development strategy.