M&A Loan Business Thinking Of China’s Commercial Banks

With development of the enterprises in China, intensified competitions andmergers of domestic and overseas markets, more and more merger and acquisitioncases were seen in recent years, featuring large and rapid growing financingrequirements on mergers and acquisitions, while annexation loans have become animportant driving force accelerating development of the merger and acquisitionbusinesses. On December10th,2008, the China Banking Regulatory Commissionissued the commercial bank M&A loan risk management guidelines "(hereinafterreferred to as the" guidelines "), allow qualified commercial Banks to offer M&Aloan. However, as China’s capital market has been improved gradually, the enterprisecan choose PE,VC to seek funds, cause financial disintermediation phenomenon, it isthe biggest challenges for the commercial bank that the capital outflow by non-banksystem. M&A loan is different from ordinary loans, it is more complexity and itsrisk is far beyond the latter, M&A loan business still exist many problems andchallenges.This article study from the perspective of commercial bank M&A loan business,selecting the Jinshang Bank’s M&A loan for specific case and focuses on analyzingour country commercial bank M&A loan business development situation and theexisting problems. And from the selection of target enterprise merger and acquisition,capital management, risk prevention and talent construction puts forward somepertinent advice.