Doing it themselves: China's technology firms are spurning external advisers on acquisitions and investments in foreign companies.
HONG KONG: When ride-hailing firm Didi Chuxing agreed to buy Uber Technologies Inc's China unit this month, creating a US$35bil (RM139bil) business, both firms used in-house advisory teams, meaning the investment banks that normally advise on these deals missed out on an estimated US$60mil (RM239.5mil) in fees.
China's cashed-up and ambitious technology firms are increasingly spurning external advisers on acquisitions and investments in foreign companies. China tech M&A doubled last year to nearly US$68bil (RM271bil), but fee volume only rose by around 60%, according to Thomson Reuters and Freeman Consulting data.
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