In the past three years, the volume of overseas investment in Chinese companies' pharmaceutical sector has increased more than sixfold

According to the White Paper on Investment in the Great Health Industry (hereinafter referred to as the White Paper) released on the 21st, the overseas investment transactions of Chinese mainland enterprises in the pharmaceutical sector showed a blowout growth.
white paper points out that overseas investment transactions by Chinese companies in the pharmaceutical sector have increased significantly since 2014, reaching US$4,353 million (about RMB28.95 billion) in the first half of 2017, with transaction volumes increasing more than sixfold and transactions growing at a compound annual rate of 85%. Among them, private enterprises dominate the overseas pharmaceutical mergers and acquisitions market, the total transaction value of state-owned enterprises 21 times.
china's domestic mergers and acquisitions market has been hot in recent years, resulting in fewer high-quality targets and higher valuations, leading domestic companies to look overseas for reasonably valued takeover targets.
in terms of investment destinations, developed countries such as Europe and the United States are still the most popular with Chinese investors. These countries have state-of-the-art pharmaceutical technology, platforms and brands. Chinese companies hope to introduce overseas high-quality medical resources and business models to accelerate the strategic layout of their domestic healthcare business.
white paper shows that in recent years, a small number of investment transactions have begun to emerge in the Asia-Pacific region, including Singapore, a country along the Belt and Road. The white paper predicts that the Asia-Pacific region is expected to become an emerging investment destination for Chinese investors as a result of the Belt and Road Initiative.
white paper predicts that more overseas investors are likely to come to China to invest in the pharmaceutical sector as the Belt and Road Initiative continues to advance and China's pension market grows. (China News Network)