Chinese companies’ overseas investments rising
May 26, 2014 Category Foreign investment, Weekly
Chinese companies’ investment in Europe reached USD7.2 billion in the first quarter of this year. Agriculture was the most targeted sector by Chinese investors, led by Cofco’s USD2.9 billion acquisition of 51% of Netherlands-based Nidera. Chinese companies are increasingly pursuing opportunities in higher value-added industries such as manufacturing, automotive, IT and telecommunications. During the first quarter of this year, Chinese investment in Europe exceeded the USD5.5 billion for the whole of last year, according to Mergermarket, an international publisher of information on mergers and acquisitions (M&As). It outpaced the USD5.5 billion of U.S. investments in Europe. China accounted for 11.6% of total investments in Europe in the quarter, a big jump from 2.9% last year. In America, Chinese firms spent USD1.36 billion on 26 deals in the quarter, with the number of acquisitions reaching an all-time quarterly high, according to a report by the Rhodium Group, a U.S. consultancy. The U.S. industries attracting the most Chinese investment were healthcare, real estate and IT. The biggest Chinese deal in the U.S. during the first quarter was the USD290 million acquisition by Chinese medical device firm MicroPort Scientific of Wright Medical Group’s OrthoRecon business. More than USD8 billion worth of Chinese deals in the U.S. are pending, including two potential mergers and acquisitions in IT equipment worth more than USD5 billion. Chinese investments in the U.S. totaled more than USD14 billion last year. Chinese investments in America exceeded U.S. investments in China for the first time in 2012. Chinese firms now employ more than 70,000 Americans, a sharp increase from barely 10,000 in 2007, the South China Morning Post reports.
- KURT VANDEPUTTE (UMICORE) APPOINTED CHAIRMAN OF THE BOARD OF THE FLANDERS-CHINA CHAMBER OF COMMERCE (FCCC)
- Webinar: “Knowing Your Chinese Partner” – May 26, 2021, 10 am – 12 am
- EMA starts rolling review of CoronaVac, WHO approves Sinopharm vaccine for emergency use
- The Global Times warns not to politicize the Comprehensive Agreement on Investment (CAI)
- Hainan to become biggest duty-free market in the world