Tracking China’s Deals

While the rest of the world suffered through its worst financial crisis in a half century, China went shopping. Since 2005, China has made 185 deals worth $100 million or more, totaling more than $222 billion.

The largest of these deals was the $12.8 billion joint venture between Chalco and Alcoa made to purchase 12 percent of Rio Tinto back in 2008. This deal was struck in Australia which has been China’s most popular destination both in terms of quantity and dollar amount.

Indicative of the large future the Chinese government has in store for its country, the most popular sectors for these deals have been metals and energy, respectively.

Forbes just published an interesting interactive map based on data from the Heritage Foundation detailing these transactions.

As you view the presentation, pay special attention to how the pace picks up. By the second half of 2009, China is averaging more than seven $100 million deals a month.

You can check out the full interactive version at Forbes.com

By clicking the image or link, you will be directed to Forbes.com. U.S. Global Investors does not endorse all the information supplied by this website and is not responsible for its content. None of U.S. Global Investors family of funds held any of the securities mentioned in this article as of 3/31/10.

About Frank Holmes 282 Articles

Affiliation: U.S. Global Investors

Frank Holmes is CEO and chief investment officer of U.S. Global Investors, Inc., which manages a diversified family of mutual funds and hedge funds specializing in natural resources, emerging markets and infrastructure.

The company’s funds have earned more than two dozen Lipper Fund Awards and certificates since 2000. The Global Resources Fund (PSPFX) was Lipper’s top-performing global natural resources fund in 2010. In 2009, the World Precious Minerals Fund (UNWPX) was Lipper’s top-performing gold fund, the second time in four years for that achievement. In addition, both funds received 2007 and 2008 Lipper Fund Awards as the best overall funds in their respective categories.

Mr. Holmes was 2006 mining fund manager of the year for Mining Journal, a leading publication for the global resources industry, and he is co-author of “The Goldwatcher: Demystifying Gold Investing.”

He is also an advisor to the International Crisis Group, which works to resolve global conflict, and the William J. Clinton Foundation on sustainable development in nations with resource-based economies.

Mr. Holmes is a much-sought-after conference speaker and a regular commentator on financial television. He has been profiled by Fortune, Barron’s, The Financial Times and other publications.

Visit: U.S. Global Investors

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