THE CHARTIST: M&A TARGETING SINGAPORE COMPANIES PLUNGED TO 5-YEAR LOW
This chart from Thomson Reuters shows that foreign acquisitions targeting Singapore-based companies plummeted by 51.9% YOY to US$4.3B, marking a four-year low since 2013 (US$1.7B).
Data showed that the retail sector accounted for 46% of Singapore’s inbound M&A activity and totalled US$2B, up 99.5% from the first half of 2017. Alibaba Group Holding Ltd of China planned to raise its interest in Lazada South East Asia Pte Ltd, a Singapore-based online retailer, for a total US$2B, in a privately negotiated transaction.
It was the opposite for the M&A activity of Singapore companies targeting foreign firms. It rose 24.5% to US$12.4B in deal value, but there was a 23.2% decline in the number of announced outbound acquisitions.