Tech, cross-border activities set to drive Asia M&A next year | The Business Standard
Skip to main content
  • Latest
  • Economy
    • Banking
    • Stocks
    • Industry
    • Analysis
    • Bazaar
    • RMG
    • Corporates
    • Aviation
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
The Business Standard

Sunday
June 15, 2025

Sign In
Subscribe
  • Latest
  • Economy
    • Banking
    • Stocks
    • Industry
    • Analysis
    • Bazaar
    • RMG
    • Corporates
    • Aviation
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
SUNDAY, JUNE 15, 2025
Tech, cross-border activities set to drive Asia M&A next year

Global Economy

Reuters
31 December, 2020, 07:10 pm
Last modified: 31 December, 2020, 07:14 pm

Related News

  • Israeli strike on Iran sparks LNG supply concerns in Asia: S&P Global
  • America’s cold shoulder to foreign students is worrying Asia
  • How Asia can revolutionise food systems before it’s too late
  • Asia is contemplating a growing nuclear future
  • Chinese internet giant Tencent interested in entering Bangladesh market

Tech, cross-border activities set to drive Asia M&A next year

High technology and telecommunications companies surged to a 23% share of deal value, up from 14% last year, while retail and consumer products and services firms also reported growth

Reuters
31 December, 2020, 07:10 pm
Last modified: 31 December, 2020, 07:14 pm
FILE PHOTO: People cross a street during morning rush hour in front of the skyline of the central business district (CBD) in Beijing, China December 15, 2020. REUTERS/Thomas Peter
FILE PHOTO: People cross a street during morning rush hour in front of the skyline of the central business district (CBD) in Beijing, China December 15, 2020. REUTERS/Thomas Peter

Coronavirus-spurred growth in the technology sector will help drive M&A activity in the Asia Pacific next year, bankers and lawyers predict, with the potential easing of Sino-US tensions likely to revive Chinese outbound investment.

Deals involving Asia Pacific firms totalled $1.2 trillion in 2020, up 12% from 2019. Seven of the year's 10 largest transactions were announced in the third quarter, which in total accounted for 40% of the year's deals by value.

High technology and telecommunications companies surged to a 23% share of deal value, up from 14% last year, while retail and consumer products and services firms also reported growth.

The Business Standard Google News Keep updated, follow The Business Standard's Google news channel

"Covid has dramatically accelerated digitalization, e-commerce and fintech," said Jung Min, co-head of merger and acquisitions (M&A) at Goldman Sachs in Asia, excluding Japan.

"Companies that have benefited are now suddenly much larger in size and financial scale, creating significantly more potential to make strategic investments," he said. "Industry disruption, change and transformation will continue and drive the larger transactions."

In the latest such move, Qatar's telecoms company Ooredoo and Hong Kong conglomerate CK Hutchison Holdings are exploring a deal to merge their units in Indonesia, the world's fourth most populous country.

Samson Lo, UBS' head of Asia M&A, said the outlook for China outbound deals was positive, despite persistent regulatory pushback from many countries. "There continues to be appetite for good quality assets in Europe," he said.

In a report published this month, law firm Allen & Overy flagged the potential return of Chinese healthcare sector investors to the US market for the first time in many months on easing trade tensions.

Antagonism between Washington and Beijing over the past year under outgoing President Donald Trump has hampered deals. Investors say the incoming Biden administration may not mean an instant thaw in relations, but will likely provide a more predictable policy approach.

Dealmakers are also counting on a steady pipeline of cross-border deals involving Asian companies' strategic investments as well as divestments of multinational companies in the region.

"We expect cross-border activity to be a prominent feature, although it's unlikely to be China outbound driven like in years past," said Richard Wong, Morgan Stanley's Asia Pacific head of M&A. "We expect it to feature Asian sellers of overseas assets ... or highly selective strategic acquisitions overseas."

China and Japan led Asia's M&A growth in 2020, against a 5.5% decline globally. China, the world's second largest economy, recovered strongly from the earliest coronavirus outbreak with a 28% increase in deals from 2019.

Japan contributed half of the region's mega deals worth $5 billion or more, including Nippon Telegraph and Telephone Corp's $40 billion tender offer for NTT Docomo.

Private equity-backed deals in the region reached a record high of $129 billion, up 51% year-on-year.

Despite the deal bonanza, M&A fees dropped to a five-year low of $4.2 billion as fewer transactions were completed this year compared to 2019, Refinitiv data showed.

Dealmakers have also cautioned that China's latest anti-trust crackdown on its tech companies could be deterrents in future M&A.

Morgan Stanley topped the region's league table for announced M&A deals in 2020, followed by Goldman Sachs and CICC.

Tech / Top News / World+Biz

Asia / tech

Comments

While most comments will be posted if they are on-topic and not abusive, moderation decisions are subjective. Published comments are readers’ own views and The Business Standard does not endorse any of the readers’ comments.

Top Stories

  • People watch from a bridge as flames from an Israeli attack rise from Sharan Oil depot, following Israeli strikes on Iran, in Tehran, Iran, June 15, 2025. Majid Asgaripour/WANA (West Asia News Agency) via REUTERS
    Iran says it will stop 'self-defence response' if Israel halts attacks
  • Representational image. Photo: Mehedi Hasan/TBS
    DSE index rises, but turnover remains low
  • The moment before Abu Sayeed was shot during a clash between police and protesters in front of Begum Rokeya University in Rangpur on Tuesday, 16 July 2024. Screengrab from video
    ICT extends deadline for Abu Sayed murder probe by one month

MOST VIEWED

  • Tour operator Borsha Islam. Photo: Collected
    ‘Tour Expert’ admin Borsha Islam arrested over Bandarban tourist deaths
  • Fighter jet. Photo: AFP
    3 F-35 fighter jets downed, two Israeli pilots in custody, claims Iranian media
  • Infographic: TBS
    Chattogram Port proposes 70%-100% tariff hike
  • Vehicles were seen stuck on the Dhaka-Tangail-Jamuna Bridge highway due to a traffic jam stretching 15 kilometres on 14 June 2025. Photo: TBS
    15km traffic jam on Dhaka-Tangail-Jamuna Bridge highway as post-Eid rush continues
  • Ahsan H Mansur. TBS sketch
    BB governor meets global litigation funders to mobilise $100m for tracing stolen assets
  • Burnt out cars and damaged buildings are all that’s left of this street in Ramat Gan Credit: AP
    Iran threatens to strike US, UK, and French bases if they help defend Israel

Related News

  • Israeli strike on Iran sparks LNG supply concerns in Asia: S&P Global
  • America’s cold shoulder to foreign students is worrying Asia
  • How Asia can revolutionise food systems before it’s too late
  • Asia is contemplating a growing nuclear future
  • Chinese internet giant Tencent interested in entering Bangladesh market

Features

Photos: Collected

Kurtis that make a great office wear

1d | Mode
Among pet birds in the country, lovebirds are the most common, and they are also the most numerous in the haat. Photo: Junayet Rashel

Where feathers meet fortune: How a small pigeon stall became Dhaka’s premiere bird market

3d | Panorama
Illustration: Duniya Jahan/ TBS

Forget Katy Perry, here’s Bangladesh’s Ruthba Yasmin shooting for the moon

4d | Features
File photo of Eid holidaymakers returning to the capital from their country homes/Rajib Dhar

Dhaka: The city we never want to return to, but always do

6d | Features

More Videos from TBS

Iran-Israel conflict heats up at G7 summit

Iran-Israel conflict heats up at G7 summit

43m | TBS World
Is Regime Change in Iran Israel's Goal?

Is Regime Change in Iran Israel's Goal?

1h | TBS World
Ishraque seeks chief adviser's intervention for oath as Dhaka South mayor

Ishraque seeks chief adviser's intervention for oath as Dhaka South mayor

2h | TBS Today
Israel asked US to join military campaign against Iran, but US rejects request

Israel asked US to join military campaign against Iran, but US rejects request

3h | TBS World
EMAIL US
contact@tbsnews.net
FOLLOW US
WHATSAPP
+880 1847416158
The Business Standard
  • About Us
  • Contact us
  • Sitemap
  • Advertisement
  • Privacy Policy
  • Comment Policy
Copyright © 2025
The Business Standard All rights reserved
Technical Partner: RSI Lab

Contact Us

The Business Standard

Main Office -4/A, Eskaton Garden, Dhaka- 1000

Phone: +8801847 416158 - 59

Send Opinion articles to - oped.tbs@gmail.com

For advertisement- sales@tbsnews.net