Commercial Bank,Investment Bank And Mergers And Acquisition

Since the first merger and acquisition of enterprises took place in the eighties of the 20th century,the merger and acquisition of enterprises in China has generally experienced the initial stage of 1984-1992,the stage of transformation from 1992 to 2000 and the current stage of rapid development.Not only has there been great progress in the number,scale and specialization of M&A,but also the whole M&A activity is gradually improving,and it is also gradually in line with the international practice.Under the influence of the development strategy put forward by the 19th CPC National Congress to encourage enterprises to go out in the construction of "Belt and Road",the M&A of enterprises in China will have a greater development.However,there are still some important problems in the merger and acquisition of enterprises in our country,and this paper tries to explore the cognition of the role of financial intermediaries represented by commercial banks and investment banks in the merger and acquisition activities of enterprises.In 2008,the "risk Management guidelines for M&A loans of Commercial Banks"issued by the banking supervision department prompted commercial banks to formally participate in the M&A market of enterprises,breaking the near monopoly of investment banks in the financial intermediary position in M&A.Commercial banks play an intermediary role in M&A,such as consultation,coordination and so on,and can provide M&A loans,while investment banks mainly provide M&A planning and seek external capital support for M&A enterprises by issuing securities.Obviously,the two financial institutions do not play the same role in the merger and acquisition of enterprises,and the rational evaluation and application of their role is related to whether or not China's enterprises can carry out more effective mergers and acquisitions in the future,and it is also of great importance to the realization of the growth and strength of the enterprises in our country.Finally,it is of great theoretical and practical significance to promote the sustainable and stable development of the national economy.This paper first briefly describes the important role of financial intermediation in M&A,then introduces the roles of commercial banks and investment banks in M&A,and makes a comparative analysis,and puts forward the corresponding theoretical assumptions.Then,based on the M&A data of more than 900 listed companies in the period 2009-2016,an empirical study was conducted.The results confirm that:The participation of the commercial bank and the investment bank can improve the success rate of the M&A of the enterprise,and promote the enterprise to obtain more accumulated excess income and improve the enterprise's M&A performance.However,the relationship between commercial banks and customers is often long-term and continuous,and has a significant certification role.Furthermore,this paper proves that the participation of commercial banks can significantly improve the cumulative excess returns of enterprises compared with the participation of investment banks for the acquisition of enterprises.For the target enterprises,investment banks can significantly improve the cumulative excess returns compared with commercial banks.Finally,the corresponding policy suggestions are put forward from commercial banks,investment banks and M&A enterprises.