06/02/2017 World Business Report

Time for Sally and World Business Report.

Going going gone - the Chinese investor is hungry

for business in Europe and the US but billions of dollars worth

of deals are cancelled - we reveal why.

A new white knight for Takata but investors are not impressed

so what now for the Japanese airbag maker?

I'm Sally Bundock - also in the programme more US tech

giants submit their legal documents condemning

The political events of 2016 may have ignited an unprecedented period

of uncertainty for the global economy but one thing that appears

to remain unaffected is the growing appetite of Chinese investors.

Last year inflows into the US increased by nearly 190%.

Meanwhile, Chinese investment into Europe grew by 90%.

All of this gives the impression 2016 was a good year

for Western economies when it comes to foreign investment.

Well the UK is about to begin a two-year period of Brexit

negotiations and this echoes wider concerns over the health

France, Germany and the Netherlands are all set to head to the polls

later this year and Eurosceptic parties are gaining ground

And in the US the uncertainty about what the Trump administration

means for future deals with China is very unclear.

During the recent election campaign he vowed to impose punitive tariffs

Add to that moves from Chinese authorities

to crackdown on money flowing out of China.

Chinese overseas deals could have been worth billions of dollars more

if Beijing had not blocked some 30 acquisitions with Europe and the US.

Tim Gee is Mergers and Aquisitions Partner at Baker McKenzie.

You came up with a lot of that data. Thank you for coming in. Explain why

it lots of deals were actually blocked by the authorities in China?

There are three different FAQ is at play. It is not all about Chinese

authorities cracking down. -- factors. Sometimes the Chinese

bidder was outbid. For example, the London City Airport was outbid. Then

you also have regulatory controls from the West, particularly from the

US and including some European deals. Then if you have the controls

within China and what we have seen is concerned over capital outflow

from China and that has caused some transactions from being pulled as a

result of China saying we do not want this to happen. All this money

flowing out of mainland China is an issue while there currency is

getting weaker. Perhaps a crackdown from that point of view? I think it

is a concern and there are clearly proposals discussed in China about

additional scrutiny around transaction of $1 billion or more

and also transactions regarded as purely financial rather than having

industrial logic behind them. In this year ahead, 2017, are we likely

to see this trend continue of huge investments drop in China in Europe

and the United States and what companies are they looking at? We

will see this trend continued Chinese investment. We have seen a

shift from the investment patterns from a year or two ago centred on

ensuring security of supply, resources, commodities, energy,

driven by United States enterprises. We have seen a shift by privately

owned this is as in China investing in the real economy. That includes

everything from cement pumps to UK football clubs. I told we are out of

time thank you for coming in. We will discuss this story in more

detail when we reveal the newspaper stories it is one highlighted in the

financial stories. Shares of airbag maker Takata

are untraded in Tokyo this morning, That's after the company announced

it's choice for the final bidder Sharanjit Leyl has been

following the story from our You pretty much said it. The shares

were suspended following the glut of sell orders. Not impressed by

reports that cited sources said the struggling airbag maker selected at

Chinese author based supplier as the final bidder to back their

restructuring effort. Key safety system is that the company. It could

lead Takata into bankruptcy. It has been reported that a core land

turned around for Takata. Liabilities are estimated as high as

$10 billion. If they filed for bankruptcy protection, it is likely

the value in it equities will be completely wiped out which would be

a blow to all shareholders including the founding Takata family. It wants

to have helped related to the recall of millions of potentially defective

airbag inflated that have led to at least 16 deaths globally.

More technology companies are condemning President Trump's

Reports say Twitter and Netflix are about to submit legal documents

condemning the move with the court that's hearing the US government's

appeal over a stay in the immigration ban that was granted

A familiar face now on the programme. Good morning. Where are

we at? A judge has decided to call halt on these executive order and it

means at the moment people can come into the United States from the

seven countries if they had the agreement in place. The executive

order has been temporary leap lifted. There was a 90 day bank from

seven Muslim majority countries. A 20 day it and on refugees worldwide

and indefinite ban for Syrian refugees. There was a lot of

confusion because even people who had green cards and visas, you could

have been a permanent resident and not be able to go back into the

country. Both sides are giving more information. Today Twitter reports

they are about to submit documents. The long list of technology

companies? Technology is right now vying in this global war fought

talent. It is a worldwide pool they hope to draw from. It is potentially

raising cost as well. They will be making that point it is hurting

business. This is not the best way to make the country safe stop how do

you think it will play out? It could go to the Supreme Court which is

awkward because we are short one judge. Right now we are waiting to

get the fit justice but it will not happen right away. Damage to brand

America? And a question of what it means to do business in the US when

you have a president condemning the independence of the Federal judge

which he called a so-called judge. That is a problem. Thank you for

coming in. A quick look at financial markets... Today we put banking

stocks railing in Asia in anticipation that the next executive

order coming from president Trump is all about loosening regulations on

the banking sector, the so-called Dodd-Frank act. Could the sector be

given a boost by looser regulations in the US? That is the anticipation.

Markets doing well in general off the back of a good session on Friday

on Wall Street. We will be back in a moment looking at other stories in

the news. For now, goodbye. The number of unexpected deaths

of mental health patients has risen by almost 50 per cent in 3 years,

that's according to new figures