Outbound M&As decline sharply in Q1

Outbound mergers and acquisitions by Chinese mainland companies in the current year are expected to be far less active, although a rebound in intensity of the deals may come in 2018, according to a report released by international accounting and financial services giant PricewaterhouseCoopers on Thursday.

Mainland companies announced 142 outbound M&As in the first quarter of this year, with a combined value of $21.2 billion. The volume and value of those deals dropped 39 percent and 77 percent, respectively, from record highs over the same period in 2016.

Chen Chao, director of PwC China transaction services, said there were two main reasons for the decrease.