Rising prices may cool interest in M&A

A growing number of financial executives polled by global audit firm Pricewaterhouse Coopers say high prices are a barrier to merger and acquisition deals in Asia, the South China Morning Post reported. Half of the 230 financial executives polled by the global audit firm cited high prices as a key perceived barrier, compared with 32% in a 2005 survey. Although more than 68% of respondents said joint ventures and partnerships would be key to expansion in Asia, interest in mergers and acquisitions has decreased in the mainland, shifting to India. Approximately 47% of respondents said their organizations expected to conduct acquisition activities in China over the next five years, compared with 52% earlier. Meanwhile 39% indicated interest in India, up from 37%.