Struggling to seal deals in the United States as regulatory scrutiny tightens, Chinese companies looking to invest in promising technology are finding a warmer welcome for their cash in Israel.
Chinese firms have long hunted in the United States for deals to develop their technological know-how and open up new markets, but their quarry has become more elusive since late 2016 due to increased US protectionism and a tougher regulatory stance.
Firms listed on the Nasdaq index get an average share price equal to 11 times their earnings. There's a debate over which ratio is more accurate, but Chinese executives blame U. Earlier this year, New York-listed Chinese gaming firms Shanda and Perfect World said they would go private, while online dating service and medical R&D services provider Wuxi Pharmatech said they are thinking about it. investors is slim," said Shu Yi, CEO of Beijing-based advertising technology company Limei Technology, which recently gave up on plans to list in New York and now is hoping to IPO in Shanghai or Shenzhen."They will be met with fire and fury, like the world has never seen." Over-the-top rhetoric is the norm when it comes to North Korea, but when President Trump talks of unleashing "fire and fury" on Pyongyang, that's a real-time geopolitical risk.Investors responded, and markets took a drop (not a bad one mind you, but a drop nonetheless) after Trump made the remarks.Investment bank China Renaissance has teamed up with Citic Securities to raise funds to help delist and underwrite new listings in China, while Shengjing Management Consulting has launched a fund-of-funds that intends to repatriate about 100 Chinese firms.That Chinese internet companies would list in the United States might seem strange, analysts say, but it once made sense.