Fosun Group, the largest private conglomerate in China, has been on what looks like a no holds-barred acquisition spree for a few years now. It controls the largest number of listed companies in China. It has invested in sectors as diverse as fashion, films and tourism outside China, whereas within China, the company relies heavily on its industrial operations. It is known for having a good relationship with the government, yet last year, Fosun’s founder suddenly disappeared to supposedly assist a graft investigation. How has Fosun scaled up? How do the acquisitions tie in with its business model? And will it realize its ambitions of becoming China’s Berkshire Hathaway?
The world’s largest restaurant chain is gearing up to do even more in China. In a bid to make China its second-largest market globally, fast food company McDonald’s is set to open 1,250 new outlets in China over the next five years. Despite recent troubles over food safety in China, McDonald’s continues to be gung ho about its prospects in the country. Even concerns over a slowing economy aren’t dampening is spirits. McDonald’s is betting on population growth and rising urbanization to give sales a boost. In this edition of China Data, we bring you the latest numbers from China: from Ronald McDonald’s China plans to wind power and pork prices in the country.
The Chinese economy grew by 6.9% in 2015, the slowest pace in 25 years. The slowdown is likely to last as China works to change the fundamentals of its economy and transition from relying on investment to growth driven by services and consumption. In November 2015, Chinese President Xi Jinping said: “We will work hard to shift our growth from just expanding scale to improving its structure.” Overseas deal making is one way China is transforming its economy. Once used primarily to acquire energy and resources from developing countries, China’s outbound mergers and acquisitions increasingly involve the acquisition of premium assets in the US and Europe.
New York’s Waldorf Astoria Hotel regularly makes headlines when it hosts celebrities. But in 2014 it made the news for different reasons when China’s Anbang Insurance Group bought the building for $1.95 billion. The bottom line turned some heads, but the Obama administration’s decision to break with tradition and stay at the New York Palace Hotel for the UN General Assembly drew a lot of attention. A Chinese company buying property in the US, Anbang got caught in tense bilateral relations. The Waldorf Astoria deal is one of the many foreign commercial real estate purchases of mainland Chinese investors. What are their motivations?
Having established their dominance at home, China’s leading tech companies are increasingly turning their gaze overseas
Essential numbers on China: from the RMB internationalization to the contraction in the luxury market, growth in e-commerce transaction value, and more
Chinese outbound investment in entertainment is growing phenomenally. A look at the big deals like Dalian Wanda’s purchase of US-based AMC Entertainment.
What are the likes of Lenovo, Tencent, Huawei and Alibaba buying? A look at some of the most significant Chinese outbound investment deals in technology.
Chinese outbound investment in the food and beverage sector is growing with acquisitions of marquee brands like Smithfield Foods and Weetabix.
As one of the fastest-growing economies in the world, China needs to actively scout for resources. A look at cases of Chinese outbound investment in energy.