Vibrant real estate M&As seen in H1

Updated 2017-09-14 10:00:16 Shanghai Daily

The value and volume of real estate merger and acquisition activities continued to be vibrant in China in the first half of the year, with the industry becoming more intensified, a report released yesterday by PwC showed.

From January to June, the total value for domestic real estate M&A deals jumped 78.5 percent year on year to .6 billion whilst the total number of M&A deals rose 24.7 percent to 207, according to PwC, which tracks equity transfer deals within the real estate industry across the country.

"M&A consolidation has become a notable way for real estate companies to expand and a key method to increase their land reserves quickly," said Franklin Zhai, PwC China deals real estate partner.

"Looking ahead, as market competition further intensifies, real estate enterprises will be more concerned about their scale in order to maintain their leadership which will result in increased industry concentration."

Industry concentration intensified in the first six months. By sales value, the country's top-20 developers contributed 35.6 percent of the industry total in the first half, up from 25.2 percent in 2016. The concentration of the top-100 companies hit 58.1 percent during the same period, up from 44.8 percent last year, PwC data showed.

During the six months, M&A transactions in east, central, south and north China took up more than 85 percent of the total value and above 80 percent of the total volume, PwC said.

Shanghai, Beijing and Shenzhen took a combined 40 percent share in value and 35 percent in volume.

Also in the News

Nicole Kidman Recalls Oscar Glory: Loneliest Time
Showbiz2016/06/16 13:58February 20 2019 06:06:07

Nicole Kidman Recalls Oscar Glory: Loneliest Time

Attending Shanghai International Film Festival, Nicole Kidman talks about her role in "Grace of Monaco".

Labor Day Travel Peak Starts
Also in the News2014/05/01 12:16February 20 2019 06:06:07

Labor Day Travel Peak Starts

Johnny Depp Delivers a Speech 'Evolve the Future' in 'Transcendence'
Also in the News2014/04/18 13:18February 20 2019 06:06:07

Johnny Depp Delivers a Speech 'Evolve the Future' in 'Transcendence'

Hollywood star Johnny Depp's speech in the upcoming new film "Transcendence" has been disclosed on Friday, April 11th.

China World Business Sports Showbiz Audio
C4 My Chinese Life The Sound Stage China Revealed Showbiz Video Travel Video
China World Fun Travel Entertainment Sports
Beijing Shanghai Guangzhou
Live Music Opera & Classical Movies Traditional Shows Exhibitions
Learn Chinese:
Chinese Studio Living Chinese Everyday Chinese Just For Fun Chinese Culture Buzzwords