Chinese -funded enterprises' overseas purchase trend will decline for the fourth consecutive year, but the scale of transactions for Latin America is more than Europe and the United States, becoming a region where some companies can successfully marry.
According to Bloomberg report, Bloomberg's assembly data shows that Chinese -funded enterprises' overseas acquisitions will decline for the fourth consecutive year. This year, it is only US $ 31.1 billion (S $ 41298 billion), the lowest level since 2007.The transaction scale for Latin America is $ 7.7 billion, which is more than Europe and the United States.
Because the epidemic makes the strategic industry in Europe and the United States easily become the goal of malicious acquisitions, coupled with national security concerns, buyers of Chinese -funded enterprises have been increasingly reviewed in Europe and the United States this year.So buyers turned their attention to Latin America. The local political and social turmoil over the years has led some other foreign companies.
The UNIVERSIDAD PONTIFICIA Comillas Professor Alfredo Arahuetes said: "This has brought a rare opportunity to China’ s long -term strategic investors. "The family finds high -quality assets at a fairly favorable price. This trend may continue in the next few years. "
Last month, China State Grid agreed to acquire the control of a Chilean power grid company, including the valuation of the debt of 4.3 billion euros (S $ 6.976 billion), which is the largest overseas acquisition transaction in China this year.The State Grid also completed the acquisition of SEMPRA ENERGY Chilean assets earlier this year.
Looking at Mexico, China National Power Investment Group acquired Zuma Energia, the largest independent renewable energy company.China Yangtze River Three Gorges Group has previously acquired Sempra's business in Peru for nearly $ 3.6 billion.
Antony Hung, the person in charge of Santanda Asia Pacific, said that for those large Latin American companies that need a large amount of capital expenditure, Chinese buyers can get real gold and silver to invest, "Chinese companies only think of Latin America's mergers and acquisitions as it is just as it is as it is as it is as it is as it is.The beginning of a larger plan "," The real ultimate goal is to invest in these assets to increase long -term value for all stakeholders. "