China’s Rising Investment in the U.S.

Capstone recently was invited to the Virginia Economic Development Partnership (VEDP)’s Chinese Investment Promotion Agency (CIPA) Delegation Seminar to present on M&A opportunities for Chinese companies in Virginia.  There are many opportunities for investment; see some of the latest trends in the chart below.

China’s inbound and outbound M&A activity has been rising, with 47% of Chinese business expecting acquisitive growth. In the first quarter of 2013, outbound investment in U.S. companies increased by 57% to $8.2 billion, according to Reuters. Shuanghui International’s purchase of Smithfield Foods for $4.7 billion, if approved, would be the largest acquisition of a U.S. company by a Chinese company.

This is only the beginning. As China’s market matures and its middle class increases, Chinese companies will look for more opportunities abroad.

 China M&A Trends

China Cross-Border M&A Activity

China M&A Recent Deals

 

Photo Credit: Philip Jägenstedt via Compfight cc