Following the surge of mergers and acquisitions in the final quarter of 2016, many attempted to predict whether 2017 would follow suit. For instance, the Financial Times anticipated that the increase in mergers and acquisitions would carry into 2017. Similarly, JP Morgan forecasted that companies would adapt and cross-border deals would continue to surge, despite political changes and uncertainty, such as the Brexit referendum and the change in administration in the United States. In fact (and as predicted), the growth of cross-border transactions has been significant. Bloomberg Law reported that in 2017 thus far, there has been a total of … Continue Reading
In late 2016, the Chinese State Council announced new capital controls were to be put in place as of January 1, 2017, with the aim of reducing the outflow of currency from China. These new measures are seen as likely to have significant impacts on industries around the globe, such as housing markets and insurance, as well as the broader market for international mergers and acquisitions (M&A) by initiated by Chinese companies around the world.
Crackdown on money laundering
One of the principal aims of the regulations appears to be a crackdown on money laundering through the purchase … Continue Reading
To the casual observer, the economic outlook in the Asia Pacific region, and China in particular, has been rosy for a long time, with international attention focused on fast-paced economic growth and emerging wealth in the region. However, the beginning of 2016 has proven to be difficult for Chinese government officials as they contend with tumultuous stock markets and newly released 2015 economic figures. As far as the outlook on M&A is concerned, Chinese companies’ overseas mergers and acquisitions were strong in 2015 and are expected to continue growing while spending on foreign M&A into China was down significantly in … Continue Reading
Global M&A continues to rise with over $2.19 trillion recorded in the first half of 2015, according to Dealogic data. This is an increase of 31% from $1.67 trillion announced in the first half of 2014, and the second highest half year volume on record, following $2.59 trillion recorded in 2007. In addition, US targeted M&A reached a half year record high of $1.03 trillion this year, the first time on record any nation has broken the $1 trillion mark in a half year period.
These gains have been driven by an increase in “jumbo” deals, which are mergers … Continue Reading