A Study Of Cross-border M&A Of Our Banking Under Financial Crisis

As the integration of global economic and deepening of financial liberalization, especially after China's accession to WTO and with the gradually opening up of China's financial markets, the international operating becomes inevitable for development of China's commercial bank. The mergers and acquisitions of foreign banks is most direct and quickest way to enter the world market. As cross-border M & A of our banking began very late, many things should be learned and improved. Especially in the current financial crisis, China's commercial banks face more complicated international environment. How to grasp the opportunities and avoid the risks becomes an urgent problem. We should analyze the current situation and raise some strategy to solve this question.The article began with analyzing the theory of cross-border mergers and acquisitions, and gave a brief overview to development history, current situation and characteristics of cross-border M & A of our banking. In the core part of the subject, the article analyzed the international environments under the financial crisis. It proposed that there are many opportunities for us: firstly, the depression of foreign banks has provided a low price for cross-border M & A; secondly, the unemployment of financial professionals provided a chance for us to attract the best talents; thirdly, external environment, such as the politics, the admitting systems all become more beneficial for us.Then, the article gave three cross-border M & A cases of Chinese commercial banks. It mainly analyzed the financial efficiency and the strategic significance and proposed some lessons we should learn. Although the environment is favorable, there are also many risks for us. We should make some designs to avoid the risks and employ the valuable opportunity. At last, the article brought forward some strategy and suggestions for cross-border mergers and acquisitions of China's commercial bank: Firstly, we should established mechanism of preventing price risk, financial risk and state risk; Secondly, we should select acquisition targets to adjust the geographical distribution, business structure and appropriate scale; Finally, we should pay attention to after-merger integration, mainly from the management, human resources and corporate culture aspects.