Bankers working for China’s HNA Group have been buoyed by the successful completion of its $6bn deal for US technology group Ingram Micro — indicating that other pending acquisitions of overseas assets will not be blocked by restrictions on moving capital offshore.
HNA’s Ingram deal had been awaiting approval from China’s State Administration of Foreign Exchange. But it was thrown into question by new State Council restrictions on Chinese groups buying overseas companies in areas outside their “core” business.
Any noncore acquisition worth more than $1bn will now be refused regulatory approval, according to people who have seen documents on the new rules.