Ningbo Overseas Acquisition Gaining Momentum
- Details
- Category: Governmental News
- Published: Friday, 11 March 2016 10:02
Global acquisitions surge in a sluggish economy. It's the consensus reached by economists and businessmen alike.
Entering a new year, Ningbo overseas acquisition is developing into a trend, though reports from assorted companies indicate that January and February is not conventional time for business expansion.
Within about 60 days, Ningbo enterprises have already initiated at least 5 overseas acquisitions worth ￥11.85 billion in total, their targets all global business giants.
Such a trend is quite rare.
Statistics from the Municipal Business Meeting show that Ningbo enterprises clinched 25 deals of overseas acquisition in 2015 versus 20 in 2014. The total value reached $0.25 billion, up 27.3% over last year. And the largest one in 2015 was the purchase of an Australian auto parts supplier by Shuanglin Group Co.Ltd at $0.1 billion.
The boost of overseas acquisitions together with the acceleration of other direct investment projects lead to a hike in outbound investment of Ningbo enterprises.
By the end of January in 2016, Ningbo has registered 2,277 foreign companies or institutions and $10.31billion’ worth of outbound investment, becoming the fourth sub-provincial city to surpass the 10 billion dollars’ threshold. The money has flowed to 116 countries or districts with a wide coverage.
To the great progress, Chen Xiuzhong from the Municipal Commerce Committee commented that fostering a batch of multinationals is a priority of Ningbo foreign trade governance.
Ningbo aspires to foster a number of multinationals based on upgraded incubation systems while groping for the establishment of state-owned international investment enterprises. It also stimulates companies to go global by acquiring and restructuring international enterprises with good brand, techniques, marketing channels and R&D teams or extending their value chain globally
