A Study On The Selection And Economic Consequences Of The Introduction Of Strategic Investors By Commercial Banks

The concept of strategic investor was first introduced into China's capital market on July 28,1999.The concept was mentioned by the China Securities Regulatory Commission(CSRC)in the Circular on further improvement of Stock issuance.After that,Shougang became the first listed company in China to introduce strategic investors.Since2005,the high tide of banking market has further promoted the development of introducing strategic investors into listed companies in China.At this stage,PEI,M & A fund and other equity investment are becoming more and more popular in China,which brings the topic of strategic investors to an unprecedented height.At present,the strategic investors are playing an important role in the prosperity of Chinese capital market.It is necessary to have a deep understanding of the strategic investors,so it is necessary and practical to study the cases of introducing strategic investors.Based on the life cycle theory,synergy effect theory,management efficiency theory and market power theory,this paper discusses the factors influencing the selection of strategic investors.The related literature about the motivation of strategic investors' behavior and the economic consequences of strategic investors is reviewed.In the following part of the theory and mechanism,this paper analyzes the external pressure and internal power of introducing strategic investors into joint-stock commercial banks,thus demonstrates the importance of introducing strategic investment.Then,this paper analyzes the influence of strategic goal,life cycle and bottleneck of strategic development on the selection of different strategic investors.Finally,this paper demonstrates the motivation and effect of introducing financial strategic investors and industrial strategic investors.This paper attempts to introduce the financial strategic investor_new bridge capital from the deep development(now renamed Ping An Bank)in the way of case study.The case study of the introduction of strategic investors in China in 2010 has found that the new bridge capital has helped the Shenzhen Development Bank to improve the corporate governance level and fully exploit its internal development potential.However,because of the purpose of the new bridge capital financial investment,there are some short-sighted behaviors which are not conducive to the long-term development of the deepdevelopment.National peace pays much attention to the growth and security of the deep development bank's profit,which is beneficial to the long-term development of the deep development bank.The results of the financial performance and the performance analysis of the long and short term market also confirm the above views.Commercial banks can help them break through the strategic bottlenecks of lack of internal system level and lack of business experience.Second,industrial strategic investors are suitable for commercial banks in the mature stage,which can help them break through the bottlenecks of industrial development,reduce operation risk,and expand business steadily.Third,When introducing the financial strategic investors,we should consider the possible short-sighted behavior to increase the risk of operation or the potential to affect the long-term development of the enterprise,and formulate corresponding countermeasures.