February 10, 2025 – The State Administration for Market Regulation (SAMR) approved a total of 623 cases of concentration of operators unconditionally in 2024, reflecting a stable and growing investment and mergers and acquisitions (M&A) market.
Previous report on China’s merger reviews in 2024
According to the recently disclosed data, SAMR concluded 643 cases in total, with 19 applications withdrawn after acceptance and only one case—JX Metal Co., Ltd.’s acquisition of Tozda Electric Wire Co., Ltd.’s equity—approved with additional restrictive conditions.
The report highlights a notable rebound in investment confidence among private enterprises, with increased M&A activity in key industries such as water, electricity, gas, and finance. The vast majority of cases were handled efficiently, as 566 of them, approximately 91%, were categorized as simple cases and closed within 30 days in the preliminary review stage. Among the reviewed cases, 558 were resolved without further scrutiny, while 65 proceeded to an extended review before receiving approval.
Investment Trends and Transaction Volumes
The total transaction amount of operator concentration cases reached approximately 2.3 trillion yuan. Transactions varied in scale, with 427 cases involving deals worth over 100 million yuan, 223 cases exceeding 1 billion yuan, and 52 cases surpassing 10 billion yuan. The largest single transaction recorded in 2024 amounted to 110 billion yuan.
Domestic enterprises dominated the M&A landscape, with 356 cases, or 57% of the total, occurring between domestic firms. Foreign enterprise mergers accounted for 183 cases (29%), while cross-border mergers between domestic and foreign firms comprised 85 cases (14%).
State-Owned and Private Enterprises Drive Market Growth
Both state-owned and private enterprises demonstrated strong investment activity. State-owned enterprises were involved in 335 cases (54%), while private enterprises played a role in 246 cases (39%). Notably, partnerships between state-owned and private enterprises saw significant activity, with 171 cases, representing 70% of all private enterprise-related deals. Foreign enterprises participated in 263 cases, making up 42% of the total transactions.
Industry Breakdown: Manufacturing Leads M&A Activity
Manufacturing emerged as the most active sector, with 213 cases (34%) of total transactions. Other high-activity industries included utilities (water, electricity, gas, and heat production and supply), wholesale and retail, finance, transportation, real estate, and information technology services.
Within the manufacturing sector, the automobile industry saw the most transactions, with 31 cases accounting for 15% of all manufacturing-related deals. Other key sub-industries included electrical machinery and equipment, chemical raw materials and products, computer and electronic equipment manufacturing, and non-ferrous metal smelting and rolling processing.
The data suggests a robust and optimistic outlook for China’s M&A market, with increased confidence among private investors and continued cooperation between state-owned and private enterprises. As industries continue to expand and integrate, regulatory oversight remains crucial in ensuring fair and competitive market practices.
Source: https://www.samr.gov.cn/xw/mtjj/art/2025/art_f6944c8647cb47d88341854f071f4c04.html
