1. Deals Analysis
March 31, 2022

China’s technology industry sees a drop of 27.27% in cross border deal activity in February 2022

By Carmen

China’s technology industry saw a drop of 27.27% in overall cross border deal activity during February 2022, when compared with the last 12-month average, led by Shanghai Chengshu Investment Management and TrustBridge Partners’ $200m private equity deal with Beijing Huitong Tianxia Wulian Technology, according to GlobalData’s deals database.

 
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A total of 24 cross border deals worth $675.1m were announced in February 2022, compared with the 12-month average of 33 deals.

venture financing was the leading category in the month in terms of volume with 21 deals, which accounted for 87.5% of all cross border deals.

In second place was M&A with two cross border deals, followed by private equity with one transactions, respectively accounting for 8.3% and 4.2% of overall deal activity in the China’s technology industry during the month.

In terms of value of cross border deals, venture financing was the leading deal category in China’s technology industry with total deals worth $475.08m, followed by private equity deals totalled $200m.

China technology industry cross border deals in February 2022: Top deals

The top five technology industry cross border deals accounted for 87.4% of the overall value during February 2022.

The combined value of the top five technology cross border deals stood at $590m, against the overall value of $675.1m recorded for the month.

The top five technology industry cross border deals of February 2022 tracked by GlobalData were:

1) Shanghai Chengshu Investment Management and TrustBridge Partners $200m private equity deal with Beijing Huitong Tianxia Wulian Technology

2) The $140m venture financing of Beijing Debeijin Service Technology by BitRock Capital,D1 Capital Partners,DST Global,Eight Roads Capital Advisors (Hong Kong),Emergence Capital,Glade Brook Capital Partners,Hillhouse Ventures,Prosperity 7 Ventures,Ribbit Capital and Whalerock Capital

3) Hillhouse Ventures,Mirae Asset Global Investments,SoftBank Vision Fund 2 and Yun Qi Capital $100m venture financing deal with Beijing Wisdom Tooth Technology

4) The $100m venture financing of Jiangxi Yunzhangfang Enterprise Management by Apax Digital Fund

5) BAI Capital,GGV Capital,Jiyuan Capital,Sequoia Capital China and Source Code Capital $50m venture financing deal with Taichi Graphics Technology

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.

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