China’s construction & real estate industry sees a rise of 30.9% in deal activity in Q4 2019

21 February 2020 (Last Updated February 24th, 2020 13:19)

China’s construction & real estate industry sees a rise of 30.9% in deal activity in Q4 2019

China's construction & real estate industry saw a rise of 30.9% in overall deal activity during Q4 2019, when compared with the last four-quarter average, according to GlobalData’s deals database.

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A total of 72 deals worth $9.09bn were announced in Q4 2019, compared to the last four-quarter average of 55 deals.

M&A was the leading category in the quarter with 63 deals which accounted for 87.5% of all deals.

In second place was venture financing with six deals, followed by private equity with three transactions, respectively accounting for 8.3% and 4.2% of overall deal activity in the country's construction & real estate industry during the quarter.

In terms of value of deals, M&A was the leading deal category in China's construction & real estate industry with total deals worth $8.42bn, while private equity and venture financing deals totalled $443.5m and $221.21m, respectively.

China construction & real estate industry deals in Q4 2019: Top deals

The top five construction & real estate deals accounted for 51.2% of the overall value during Q4 2019.

The combined value of the top five construction & real estate deals stood at $4.65bn, against the overall value of $9.09bn recorded for the month.

The top five construction & real estate industry deals of Q4 2019 tracked by GlobalData were:

1) Sunac Southwest Real Estate Development (Group)'s $2.17bn acquisition of Chengdu Global Century Exhibition & Travel Group and Chengdu Times Global Industrial

2) The $1.12bn acquisition of China Merchants Property Management by AVIC Sunda HoldingLimited

3) Greentown Real Estate GroupLimited's $515.66m acquisition of Shanghai Xinhu Real Estate Development

4) The $494.7m acquisition of Hubei Daguangbei Expressway by Hubei Chutian Smart Communication and Hubei Transportation Investment Construction Group

5) Shanghai Suzuan InvestmentLimited's acquisition of Shanghai Huayan Real Estate DevelopmentLimited for $352.19m.

Verdict deals analysis methodology

This analysis considers only announced and completed deals from the GlobalData financial deals database and excludes all terminated and rumoured deals. Country and industry are defined according to the headquarters and dominant industry of the target firm. The term 'acquisition' refers to both completed deals and those in the bidding stage.

GlobalData tracks real-time data concerning all merger and acquisition, private equity/venture capital and asset transaction activity around the world from thousands of company websites and other reliable sources.

More in-depth reports and analysis on all reported deals are available for subscribers to GlobalData’s deals database.