China's capital market sees increasing mergers, acquisitions

China's capital market has reported surging mergers and acquisitions deals driven by policy initiatives designed to energize the sector, according to the China Securities Regulatory Commission (CSRC).

The country's securities regulator said on Wednesday that companies listed on China's A-share market have disclosed 46 major asset restructuring projects since May 2024, with seven equity restructuring cases submitted for CSRC registration.

CSRC officials said that market-oriented reforms in mergers and acquisitions and financial restructuring have shown positive results, with notable mergers and acquisitions cases constantly emerging and companies boasting core technologies taking a center stage.

"Companies are continuously advancing mergers and acquisitions by circling around people's livelihood, national strategies, and emerging industries. Mergers help them achieve advantage complementarity, enhance overall competitiveness, and facilitate resource integration, ultimately boosting business profitability," said Chen Li, chief economist at Chuancai Securities.

Asset restructuring refers to significant changes in a listed company's assets through purchases, sales and other transactions. In April this year, the State Council released its third guideline document on the capital market in two decades, outlining efforts to build a "secure, regulated, transparent, open, dynamic and resilient capital market". Since the introduction of the guideline, the CSRC has rolled out multiple measures to invigorate the mergers and acquisitions market and create favorable policy environment for restructuring.

"[These measures include] supporting companies listed on the STAR market in conducting mergers and acquisitions activity within their industrial chains to enhance industry collaboration and optimize resource allocation, and establishing efficient financing and mergers and acquisitions channels for companies that develop core technologies in key fields. These will help sci-tech companies acquire critical technologies, expand business layout, and accelerate sci-tech innovation and industrial upgrading," Chen said.

By the end of August, the CSRC had registered 663 quarterly or half-yearly profit distribution reports from listed companies, with a total value of 533.7 billion yuan (about 75 billion U.S. dollars), up 157.1 percent year on year. Of these, 248 companies are expected to pay interim dividends of over 100 million yuan (more than 14 million U.S. dollars) to shareholders.

China's capital market sees increasing mergers, acquisitions

Iranian President Masoud Pezeshkian said on Monday that his country has not sent hypersonic missiles to Yemen's Houthi group.

The president made the remarks at a press conference in Tehran, in response to a question from an Al Jazeera news network reporter who quoted political experts saying that Iran has supplied hypersonic missiles, or the technology to develop them, to the Houthis.

Iran has hypersonic missiles, but not of the same kind that the Houthis possess, Pezeshkian said, adding that the Houthis themselves had developed the missiles over time.

It is impossible for Iran to send missiles to Yemen covertly when it takes more than a week just to send solely human forces to the country, he said.

Pezeshkian said that Iran and the Houthis have worked together against Israel's "genocide" in Gaza, and stressed that the international community should condemn the crimes against humanity committed by Israel.

"If [the Western] countries are worried about the security of Israel, why are they not concerned about the security of Gaza Strip, the security of Palestine and innocent people? Civilized countries and supporters of human rights should not allow power to bomb and kill innocent civilians while simultaneously accusing Iran of supplying missiles to Yemen's Houthis," said Pezeshkian.

On Iran-U.S. relations, Pezeshkian emphasized Iran's pursuit of peace over conflict and clarified that Iran has no intentions of building nuclear weapons.

However, he said, the U.S. has chosen to abandon the Iran nuclear deal and made threats against Iran. The possibility of a relaxation in strained relations between the two sides hinges on the U.S. dropping its animosity towards Iran and revoking its extensive sanctions against the country, he said.

"We don't want to start a war, but the U.S. wants to impose wars on us. If the U.S. is willing to respect Iran's rights, we will not engage in conflict with the U.S. or any other party. We hope to develop safely in our own country without the U.S. undermining Iran's security or threaten and humiliate Iran. we will never accept humiliation," Pezeshkian said.

Iran has not sent hypersonic missiles to Yemen's Houthis: President Pezeshkian