China investment banking rebounds to $15.4b fees

Government-backed deals drive $474 billion China M&A boom

China's total investment banking fees reached $15.4b in 2025, up 21% year-on-year (YoY) and the highest since 2022, supported by a recovery in equity fundraising, record bond issuance, and higher state-led mergers and acquisitions.

Fees from equity deals totalled $2.95 b, accounting for 19% of the total pool and up 91% from 2024, while fees from debt deals reached $11b, up 11% YoY, according to an LSED Data & Analytics report.

Meanwhile, primary bond issuance by China-domiciled issuers hit a record $4.1t, up 13.5% from 2024. Government and agency issuers accounted for roughly half of total proceeds, with financial institutions contributing just over 30%.

Equity capital markets recovered after a weak 2024. Chinese issuers raised $124.3b, more than double the prior year, led by a near 200% surge in follow-on offerings to $73.2b. IPO proceeds rose 82% to $26.5b, with mainland China and Hong Kong dominating listings.

Mergers and acquisitions (M&A) involving China reached $474.3b, up 62.6% YoY and the highest level since 2021. Growth was driven by the announcement of 18 megadeals exceeding $5b, which together totalled $177.9b.

Cross-border dealmaking remained subdued. Inbound M&A totalled $24b, down 0.7% and the lowest level since 2009. Meanwhile, outbound M&A edged up 5.2% to $24.4b.

CITIC ranked first in overall investment banking fees with $1.4b and an 8.8% market share, whilst also leading equity and bond underwriting. China International Capital Corporation topped the M&A advisory rankings with $89.7b in related deal value.