What drives the wave of overseas M&A by Chinese enterprises, and where is it headed?

Recalling the Year of the Horse (2014), the hottest buzzwords at the time were 'instant wealth' and 'instant home'... For Chinese enterprises, however, it was 'instant M&A': within just the first two weeks of 2014, Greenland Group invested £600 million (approximately RMB 5.958 billion) to acquire RAM Brewery’s residential project in the UK; CSR Corporation acquired the metal-rubber products business unit of Germany’s ZF Group; Tianjin Goubuli—a 155-year-old time-honored Chinese brand—planned to acquire a well-known U.S. chain coffee enterprise; Fosun International offered €1 billion (approximately RMB 8.19 billion) to purchase an 80% stake in the insurance business of Portugal’s Caixa Geral de Depósitos; Bright Food acquired Mundella Foods, a Western Australian dairy company with a 40-year history founded by the Hector family... Now, over four years later, Chinese enterprises’ overseas M&A activities have become increasingly mature, and many past mistakes have been corrected. A growing number of successful cases have emerged: for instance, compared with SAIC Motor’s acquisition of South Korea’s SsangYong Motor, Geely’s acquisition of Volvo stands out as a success story. SsangYong ultimately collapsed due to strikes and resistance from Korean workers, whereas Mr. Li Shufu of Zhejiang won the trust of Volvo’s labor union with a simple 'I LOVE YOU.' Thereafter, the Volvo brand flourished, its capabilities in the Chinese market and in China-based manufacturing improved significantly, and both parties achieved a win-win outcome—similar success stories continue to multiply. Reviewing overseas M&A activity over the past four years, the primary target markets for Chinese enterprises remain concentrated in affluent countries such as those in Europe, North America, and Australia. At domestic conferences and high-level forums, overseas M&A remains a hot topic; when participants discuss it, their immediate associations are invariably these wealthy regions—because acquiring companies there appears more 'prestigious' and serves as a badge of the acquirer’s strength and success. Every coin has two sides: acquisitions in these affluent regions are not suitable for all Chinese enterprises. For well-capitalized firms with extensive resources, acquiring companies in Europe, North America, and other developed regions is indeed a sound choice—these markets are more mature, target companies possess more advanced technologies and more standardized management practices, and such acquisitions greatly enhance Chinese enterprises’ technological capabilities and managerial competence. However, the downside is that these regions are highly experienced in M&A transactions; sellers routinely adopt competitive bidding models, awarding assets to the highest bidder. Thus, Chinese enterprises often must pay premium prices—this gives rise to the frequently discussed phenomena of the 'China premium' and the 'winner’s curse': excessively high acquisition prices ultimately undermine the very buyers who triumphed in the bidding contest. For example, consider a charity auction gala where five bottles of red wine—under expert orchestration by a professional auction house—are sold for prices ranging from RMB 180,000 to RMB 1 million. The auction house’s official price guide clearly lists reference values: the first three bottles at several thousand RMB each, the fourth at RMB 30,000, and the fifth at RMB 50,000. In the fervor of the auction hall—amplified by the auctioneer and assistants’ energetic prompting and spurred on by peers’ enthusiasm—bidders become feverishly excited, leaping up to shout unimaginably high bids. Ultimately, the fourth bottle sells for RMB 800,000.

Metal Can Manufacturing Market Research Report: Future Trends and Competitive Analysis of Manufacturers

5.3.1 Ardagh Group: Company Profile, Metal Can Manufacturing Production Bases, Sales Regions, Competitors, and Market Position 5.3.2 Ardagh Group: Metal Can Manufacturing Product Specifications, Parameters, and Market Applications 5.3.3 Ardagh Group: Metal Can Manufacturing Sales Volume, Revenue, Pricing, and Gross Margin (2021–2026) 5.3.4 Ardagh Group: Company Overview and Core Business 5.3.5 Ardagh Group: Latest Corporate Developments 5.4 Toyo Seikan 5.4.1 Toyo Seikan: Company Profile, Metal Can Manufacturing Production Bases, Sales Regions, Competitors, and Market Position 5.4.2 Toyo Seikan: Metal Can Manufacturing Product Specifications, Parameters, and Market Applications 5.4.3 Toyo Seikan: Metal Can Manufacturing Sales Volume, Revenue, Pricing, and Gross Margin (2021–2026) 5.4.4 Toyo Seikan: Company Overview and Core Business 5.4.5 Toyo Seikan: Latest Corporate Developments 5.5 Can Pack Group 5.5.1 Can Pack Group: Company Profile, Metal Can Manufacturing Production Bases, Sales Regions, Competitors, and Market Position 5.5.2 Can Pack Group: Metal Can Manufacturing Product Specifications, Parameters, and Market Applications 5.5.3 Can Pack Group: Metal Can Manufacturing Sales Volume, Revenue, Pricing, and Gross Margin (2021–2026) 5.5.4 Can Pack Group: Company Overview and Core Business 5.5.5 Can Pack Group: Latest Corporate Developments 5.6 Silgan Holdings 5.6.1 Silgan Holdings: Company Profile, Metal Can Manufacturing Production Bases, Sales Regions, Competitors, and Market Position 5.6.2 Silgan Holdings: Metal Can Manufacturing Product Specifications, Parameters, and Market Applications 5.6.3 Silgan Holdings: Metal Can Manufacturing Sales Volume, Revenue, Pricing, and Gross Margin (2021–2026) 5.6.4 Silgan Holdings: Company Overview and Core Business 5.6.5 Silgan Holdings: Latest Corporate Developments 5.7 Daiwa Can Company 5.7.1 Daiwa Can Company: Company Profile, Metal Can Manufacturing Production Bases, Sales Regions, Competitors, and Market Position 5.7.2 Daiwa Can Company: Metal Can Manufacturing Product Specifications, Parameters, and Market Applications 5.7.3 Daiwa Can Company: Metal Can Manufacturing Sales Volume, Revenue, Pricing, and Gross Margin (2021–2026) 5.7.4 Daiwa Can Company: Company Overview and Core Business 5.7.5 Daiwa Can Company: Latest Corporate Developments

Silgan, American Industrial to buy Trivium Packaging in $3.4 billion deal

16 hours ago

Silgan Holdings and American Industrial Partners will acquire Trivium Packaging for $3.4 billion, with American Industrial investing $1 billion for a 40% stake. The deal values the European recyclable packaging maker and drove Silgan shares up 6%.

reuters

2026-10-19

Silgan, American Industrial to buy Trivium Packaging in $3.4 billion deal

Silgan, American Industrial to buy Trivium Packaging in $3.4 billion deal

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