The value of mergers and acquisitions (M&A) involving Chinese firms rose 12.5% year on year to $172.7 billion in the first 3 quarters of 2013, according to data from Thomson Reuters.

The amount was also the largest in the same period of past years.

As of September 20, energy and electricity was the most active industry where $37.8 billion worth of M&As took place. That amount was up 8% from a year earlier and represented 21.9% of total M&A value.

In the first 3 quarters, the value of China-involved cross-border M&As grew 10.5% year on year to $67.5 billion, and the value of deals involving Chinese firms acquiring overseas firms totaled $43.7 billion. Both amounts were the highest levels in the same period since 2008.

Of the deals involving Chinese firms acquiring overseas firms, the US market accounted for a quarter of total deal value, including Henan Shuanghui Investment & Development Co's takeover of Smithfield Foods Inc, which is expected to be worth $7 billion including undisclosed debts.

The value of deals involving foreign firms acquiring Chinese firms was up 27.7% year on year to $23.8 billion in the first 3 quarters. The value of foreign firms acquiring Chinese property developers was $5.1 billion, or 21.5% of the $23.8 billion.

The value of M&As between Chinese firms hit a record high of $103.1 billion in the first 3 quarters, up 12.7% from a year earlier. Deals associated with the materials industry made up 18.2% of the total value, followed by 15% for the hi-tech industry and 14.7% for manufacturing.

In the first 3 quarters, the M&As involving China paid a total of $101.9 billion for financial advice, with Morgan Stanley and its Chinese joint venture taking $15.8 billion of the total, followed by Barclays and Goldman Sachs.

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