Analysis On Overseas Merger And Acquisition Of Chinese Financial Institutions

Since the 1990s,there has been a wave of new banking mergers and acquisitions in the world.One of the notable features is the significant increase in cross-border mergers and acquisitions among large banks.In the process of gradual marketization,China's financial industry has also begun its strategy of going abroad,looking for overseas companies that can be acquired and having profit margins,and bringing the Chinese financial industry to the world.Compared to international advanced financial industry acquisitions,the overseas merger and acquisition of Chinese financial industry is still in its infancy.Not only does the number of mergers and acquisitions have little experience,it is also small.In the M&A process,they also gained a lot of immature parts while gaining valuable and successful experience.The overseas mergers and acquisitions of China's financial industry not only have their own characteristics,but also have their own particularities.Therefore,the overseas mergers and acquisitions of China's financial industry have a strong research significance.The common law of mergers and acquisitions applies to the merger and acquisition of financial institutions.The various merger and acquisition theories in modern economic theory lay a theoretical foundation for the bank's cross-border mergers and acquisitions.Through cross-border mergers and acquisitions,financial institutions can achieve economies of scale,minimize operating costs,increase overall competitiveness in the industry,reduce various systematic and non-systemic risks,and ultimately maximize profits.This is an overseas acquisition of the financial industry.The ultimate goal.The most important external reason is the deepening of the integration of the contemporary global economy and the relaxation of financial supervision.At the same time,the rapid development of global networks and information technology has enabled large-scale cross-border mergers and acquisitions to be realized.Against this background of global economy,we also exposed many problems in the process of mergers and acquisitions:In terms of cross-border mergers and acquisitions,China's legal system is still not perfect,resulting in no effective management after the merger,and lack of connection.The mature intermediary agencies have caused high extra costs.The Chinese banking industry needs long-term and healthy development.These are areas where research and improvement are urgently needed.In the course of the continuous failure and progress of our financial institutions,there have also emerged some successful cases with high reference value.This article has selected two cases.ICBC's Asian merger and acquisition of Bobby Fortis Bank and Industrial and Commercial Bank of China have acquired South Africa's Standard Bank,which provides a reference for other financial institutions in the future to seek overseas M&A.