China Outbound M&A Seen Driving Rebound in Loans This Year
- Loan demand slowed in 2020 due to the coronavirus pandemic
- BofA Securities sees more outbound mergers and acquisitions
This article is for subscribers only.
Offshore loans in the Greater China region are expected to climb this year, driven by an increase in mergers and acquisitions, after falling to their lowest level in five years.
The coronavirus pandemic weighed on demand for loans in 2020, with the value of Greater China offshore club and syndicated loans dropping 31% to $96.4 billion from a year earlier. China offshore loans, which traditionally comprise the bulk of Greater China volumes, declined 40% to $45.2 billion.