September 13, 2021
1 min read

Blackstone scraps $3bn takeover of property giant Soho China

The New York-based investment management firm said it decided to drop the deal “in light of the lack of sufficient progress” being made among government regulators who would need to approve the deal…reports Asian Lite News

Amid the increasing trend of a clampdown on large business deals in China, US investment firm Blackstone Group is dropping its USD 3 billion bid for a controlling stake in property giant Soho China.

The New York-based investment management firm said it decided to drop the deal “in light of the lack of sufficient progress” being made among government regulators who would need to approve the deal, CNN reported.

Back in June, Blackstone had announced the agreement, bidding roughly 30 per cent above Soho China’s stock price at the time. Despite scrapping the deal, the company didn’t offer further details.

As per the CNN report, Blackstone has made big real estate investments in China, including a majority stake in a large logistics park in Southern China’s Greater Bay Area.

The billion-dollar deal between Blackstone Group and Soho China has been dropped at a time when China is going hard on large business deals. Being has promised to strengthen rules that would combat monopolistic behaviour and regulate technological innovation.

Moreover, Chinese authorities also called on law enforcement to take action in areas of “vital interests of people,” including financial services, education and tutoring.

Experts believe that China may soon face financial contagion as the country’s property developers’ loans are surging due to the communist regime’s recent crackdown. Beijing’s crackdown on overextended property developers has led to a surge in loan losses. And it has also raised fears of contagion across the nation’s USD 50 trillion financial sector, Nikkei Asia reported. (ANI)

ALSO READ: UK PM to visit US, hold talks with Biden

Previous Story

Indians may soon jump green card backlog queue with super fee

Next Story

Iran says talks with IAEA chief constructive

Latest from -Top News

Pakistan Faces Rising Uprisings

Officials warn that Pakistan cannot continue suppressing such protests by force indefinitely. A breaking point, they say, is inevitable — when the growing discontent converges into a major challenge for the establishment

UN Faces Crisis, Says Rajnath

Rajnath Singh said India recognises that the success of peacekeeping depends not only on numbers but on preparedness….reports Asian Lite News Defence Minister Rajnath Singh on Tuesday highlighted the urgent need for

UK to host summit on Gaza recovery plan

The three-day conference, beginning Monday afternoon, will take place at Wilton Park, the Foreign Office’s policy forum based in West Sussex The UK will host an international summit on the recovery and

India, Australia Begin AUSTRAHIND

The AUSTRAHIND exercise, which followed Defence Minister Rajnath Singh’s recent visit to Australia, reaffirmed the deepening defence cooperation between the two nations…reports Asian Lite News Strengthening the expanding defence partnership between India

‘Modi’s a Very Good Friend’: Trump

Trump’s remarks come days after Modi called him to congratulate on the “success” of the Gaza peace plan….reports Asian Lite News US President Donald Trump on Monday lauded India and described Prime
Go toTop

Don't Miss

US Presses Israel for Gaza Strategy Amid Conflict

Sullivan had previously met Saudi Arabia’s Crown Prince and de

New York Congressman-elect admits to lying about work, college

Santos has faced scrutiny over discrepancies in his employment and