An Analysis of the M&A Market in Mainland China

Master's Thesis from the year 2005 in the subject Business economics - Banking, Stock Exchanges, Insurance, Accounting, grade: 1,7, University of Cologne (Hochschule für Bankwirtschaft), language: English, abstract: The Master Thesis 'An Analysis of the M&A Market in Mainland China 'gives an introduction into the Mergers & Acquisitions (M&A) business and analyses the M&A market in the Mainland of the People's Republic of China (China). Thereby the Thesis focuses on the development of cross-border transactions within recent years and the relevant intra and extra Chinese influence factors. After the publication of recent M&A transactions data in October 2004 it is clear that the M&A market in China gains importance in a rapid manner. Within the first nine month of 2004 the Chinese market triplicated from about 10 USDbn in the previous year's period to 35 USDbn. With a total of 695 an-nounced domestic and cross-border transactions - in comparison to 730 trans-action with a value of 52 USDbn in Germany (cp. w/o author, 2004b and w/o author, 2004a) - China comes close to the sixth position of Germany in world-wide M&A volume. This rapid growth supports the common acceptation in the Investment Banking environment that China will be one of the most attractive markets for Corporate Finance services in the following years. Therefore the Master-Thesis should give an insight into the historic development of M&A transactions with Chinese involvement and the current market situation. Thereby the paper will focus on country specific influence factors that have significant importance to M&A transactions.