China: Asia’s M&A engine

 

Given how China nowadays dominates mergers and acquisitions activity in Asia, a bad year for China usually means a subdued year for the region as a whole. But with China’s leadership changes out of the way, 2014 saw an uptick in business.
“China went through a leadership transition last year, which made it more difficult for companies to execute deals” Mayooran Elalingam, head of M&A for Asia at Deutsche Bank, said. “But that has changed this year.”
Helping to grease the wheels of deal activity is the Chinese government’s move to streamline its approval process for offshore acquisitions. Since May this year, Chinese firms planning to invest less than $1 billion in an overseas company have only needed to register with the National Development and Reform Commission rather than seek prior approval from the authorities.