The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site. Please see our Subscription Terms and Conditions.


All material subject to strictly enforced copyright laws. © 2021 Euromoney, a part of the Euromoney Institutional Investor PLC.
Opinion

Anbang: The random Chinese buyer’s figurehead runs out of steam

It’s hard not to see, in the detention of Anbang chairman Wu Xiaohui, the final nail in the coffin of a certain kind of exuberant Chinese dealmaking.



Wu-Xiaohui-R-600
Anbang chairman Wu Xiaohui


Anbang, which on the face of it is a Chinese insurer, became the flag-bearer of daring-borderline-weird outbound M&A through a series of mighty acquisitions in 2015 and 2016.

This was a theme that probably reached its zenith with Anbang’s out-of-nowhere $14 billion bid for Starwood, the operator of the Sheraton and Westin hotels, which the Chinese group promptly withdrew again shortly afterwards having triggered a bidding war.

Lazard and Citi, advising Starwood, and Deutsche, advising eventual winner Marriott, emerged from the fray baffled but enriched. Anbang is the epitome of the totally random Chinese buyer, a trope of modern global M&A.

Investigators

Wu was reported on Tuesday to have been detained by investigators, which in turn followed reports that he could no longer leave the country. On Tuesday night, Anbang said in a statement that Wu is “unable to perform his duties for personal reasons”, which appears to confirm his detention.

Under his tenure, Anbang successfully bought the Waldorf Astoria hotel in New York for $2 billion.





You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.

SUBSCRIBE ONLINE TODAY

Unlimited access to Euromoney.com and Asiamoney.com

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually

FREE 7 DAY TRIAL

Unlimited access to Euromoney.com and Asiamoney.com, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors

LOGIN NOW

Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree