(ECNS) -- China supports mergers and acquisitions (M&As) by foreign companies to promote continued reform of state-owned enterprises (SOEs), said Shen Danyang, spokesperson for the Ministry of Commerce.
Shen said M&As by foreign capital have grown steadily in recent years, though the overall scale and proportion are still far below international standards.
As a major source of foreign direct investment, international M&As account for a growing proportion of global capital flow, as cross-border M&As increased by 61 percent in 2015 and FDI by 36 percent.
In 2015, the value of international M&As reached $17.8 billion in China, accounting for 14 percent of foreign funds the country attracted, Shen said.
He added that China actively supports foreign funds in SOE reform through mergers and acquisitions, which helps upgrade its industrial transformation and introduce advanced management experience that increases competitiveness among Chinese companies.
