Surge in listed companies setting up buyout funds
Updated: 2016-03-24 08:20
By Zhu Wenqian(China Daily)
|
|||||||||
Last year saw a fivefold surge in the number of companies that established buyout funds in China, and already this year another 125 companies have launched funds of this kind, according to new figures published in Securities Daily.
In 2015, 365 listed companies launched their own buyout funds, compared with just 71 in the previous year.
Thirty companies have launched the funds since the start of March, with investments focused on hot sectors like healthcare, environmental protection, graphene materials, culture and sports, and advanced manufacturing investment.
The statistics also show that the fund value of 10 companies reached 1 billion yuan ($154 million), and funds created by Sichuan SCIMEE Technology and Science Co and Jiangsu Jiangnan now top 5 billion yuan in value.
In its commentary on the figures, Securities Daily said if a company chose to participate in a merger or acquisition, the possibility of failure was greater than launching buyout funds.
It also highlighted that investments in healthcare, especially, are active this year, given the development of the sector has been promoted strongly within the government's recently announced 13th Five-Year Plan (2016-20).
As a result, the capital market is already keeping a close eye on related sectors, including pharmaceuticals, e-commerce and long-distance medical treatment.
According to data from Shanghai-based Wind Information Technology Co Ltd, the financial information provider, already this year there have been 51 M&A deals announced in the healthcare and medical sectors, worth 45 billion yuan. Those included a growing number of deals with overseas companies.
Related Stories
Stock market investors' risk appetite to grow 2016-03-21 08:15
Equity market to see glad tidings, weak momentum 2016-03-14 08:10
Exchange proves prime route to main market 2016-03-10 10:44
Too early to talk about exit of CSF: CSRC chief 2016-03-12 17:32
Chinese stocks gain on securities 2016-03-23 17:15
Today's Top News
Uneasy times as Belgium mourns the dead
Belgian bombing suspect still at large: Prosecutor
Belgian media withdraws reports of suspect's arrest
Brussels bombers were brothers El Bakraoui
Chinese citizens in Belgium get help after attack
Europe ramps up security in wake of Brussels attacks
Series of blasts rock airport, metro in Brussels
Scotland to team up with SinoFortone
Hot Topics
Lunar probe , China growth forecasts, Emission rules get tougher, China seen through 'colored lens', International board,
Editor's Picks
What makes the middle class tick |
One-stop app |
Minister rules out property market collapse |
Man on Mars? Chinese could be the first |
Accidental ballet star on the rise |
Great grains of China |