Egypt's unemployment rate falls in Q2 '25 – CAPMAS    EGP swings vs. USD in early Sunday trade    EGX launches 1st phone app    Egypt achieves record primary budget surplus of EGP 629bn despite sharp fall in Suez Canal revenues    Escalation in Gaza, West Bank as Israeli strikes continue amid mounting international criticism    Egypt recovers collection of ancient artefacts from Netherlands    Resumption of production at El Nasr marks strategic step towards localising automotive industry: El-Shimy    Egypt harvests 315,000 cubic metres of rainwater in Sinai as part of flash flood protection measures    Egypt, UNDP discuss outcomes of joint projects, future environmental cooperation    United Bank achieves EGP 1.51bn net profit in H1 2025, up 26.9% year-on-year    After Putin summit, Trump says peace deal is best way to end Ukraine war    Egypt, Namibia explore closer pharmaceutical cooperation    Jordan condemns Israeli PM remarks on 'Greater Israel'    Renowned Egyptian novelist Sonallah Ibrahim dies at 88    Egypt's FM discusses Gaza, bilateral ties in calls with Saudi, South African counterparts    Egypt prepares to tackle seasonal air pollution in Nile Delta    Al-Sisi says any party thinking Egypt will neglect water rights is 'completely mistaken'    Egyptian, Ugandan Presidents open business forum to boost trade    Egypt's Sisi, Uganda's Museveni discuss boosting ties    Egypt's Sisi warns against unilateral Nile measures, reaffirms Egypt's water security stance    Egypt, Colombia discuss medical support for Palestinians injured in Gaza    Egypt, Huawei explore healthcare digital transformation cooperation    Egypt's Sisi, Sudan's Idris discuss strategic ties, stability    Egypt's govt. issues licensing controls for used cooking oil activities    Egypt to inaugurate Grand Egyptian Museum on 1 November    Egypt's Sisi: Egypt is gateway for aid to Gaza, not displacement    Greco-Roman rock-cut tombs unearthed in Egypt's Aswan    Egypt reveals heritage e-training portal    Sisi launches new support initiative for families of war, terrorism victims    Egypt expands e-ticketing to 110 heritage sites, adds self-service kiosks at Saqqara    Palm Hills Squash Open debuts with 48 international stars, $250,000 prize pool    On Sport to broadcast Pan Arab Golf Championship for Juniors and Ladies in Egypt    Golf Festival in Cairo to mark Arab Golf Federation's 50th anniversary    Germany among EU's priciest labour markets – official data    Paris Olympic gold '24 medals hit record value    A minute of silence for Egyptian sports    Russia says it's in sync with US, China, Pakistan on Taliban    It's a bit frustrating to draw at home: Real Madrid keeper after Villarreal game    Shoukry reviews with Guterres Egypt's efforts to achieve SDGs, promote human rights    Sudan says countries must cooperate on vaccines    Johnson & Johnson: Second shot boosts antibodies and protection against COVID-19    Egypt to tax bloggers, YouTubers    Egypt's FM asserts importance of stability in Libya, holding elections as scheduled    We mustn't lose touch: Muller after Bayern win in Bundesliga    Egypt records 36 new deaths from Covid-19, highest since mid June    Egypt sells $3 bln US-dollar dominated eurobonds    Gamal Hanafy's ceramic exhibition at Gezira Arts Centre is a must go    Italian Institute Director Davide Scalmani presents activities of the Cairo Institute for ITALIANA.IT platform    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



China's unsatisfied hunger for German companies
Published in Daily News Egypt on 12 - 07 - 2017

As the German government is trying to prevent German companies in strategic industries from being acquired by foreign investors, especially from China, we take a look at some prominent takeovers from recent years.Germany continues to be a favorite destination for Chinese investors. According to Berlin-based Mercator Institute for China Studies, foreign direct investment (FDI) in Germany started soaring in 2015 and hit a record of 11 billion euros ($12.6 billion) of completed deals last year. This makes Germany the largest recipient of Chinese FDI in Europe.
In the light of the German government tightening takeover rules to shield ‘critical' businesses from foreign investors, especially technology and advanced manufacturing assets, here are some examples of Beijing buying up Germany's famed "hidden champions" of mid-sized companies.
Chinese appliance manufacturer Midea's purchase of German robot manufacturer Kuka for 4.4 billion euros was by far the largest transaction last year. As German daily Süddeutsche Zeitung reported, the German government's plan to veto the sale of critical technology is a direct response to the Kuka takeover.
In early 2016, Beijing Enterprises acquired waste incineration and power generation company EEW Energy for 1.4 billion euros. At the time of the takeover, EEW employed 1,050 workers, turned up to 4.7 million tons of waste into energy annually with its 18 plants and produced heating and electricity for about 700,000 households.
In 2015, China's foreign direct investment in Germany started soaring. This rapid increase of technology acquisitions made the German government change its traditionally non-confrontational approach in its economic diplomacy toward China. Last year, for instance, it cancelled its initial approval of a Chinese takeover of semiconductor equipment maker Aixtron, a deal that was later shut down by the US government. Overall, foreign buyers took over a record number of 873 German companies last year.
The acquisition of Munich-based industrial machinery maker KraussMaffei Group for 925 million euros by China National Chemical Corporation was the fourth-largest Chinese investment in Germany in 2016. ChemChina, the country's largest chemical company, employs 140,000 people and boasts annual revenues of roughly 37 billion euros.
Putzmeister, a 59-year-old maker of pumps for concrete, was bought by its Chinese competitor Sany for 360 million euros in 2012. In spite of initial fears about job losses among workers, Putzmeister, whose name means "plaster master," saw sales grow by nearly a third since the takeover.
In October of last year, China' sovereign wealth fund CIC invested one billion euros in German property group BGP. The transaction was the first major Chinese investment in German homes. According to Reuters, CIC and its co-investors beat out German property groups Vonovia and Deutsche Wohnen in the auction for BGP.


Clic here to read the story from its source.