The Case Study of Financial M&A among “Bank of Taiwan”,“Land Bank of Taiwan”, and “Central Trust of China”
|關鍵字:||合併;綜合銀行;控股公司;金融控股公司;merger;universal bank;holding company;financial holding company|
In view of the gradual degradation of financial contending in our domestic surroundings, the banking is anticipated to face more severe challenge and risk than ever after attempting to join the WTO. In order to enhance the competitive capability, the government has speeded up the pace of financial reformation among institutions by possessing the privatization of state-owned financial institutions, by encouraging the financial merging and by loosening its regulatory grip over the operation of financial institutions. With a careful examination of the situation, the Ministry of Finance had announced the merger of Bank of Taiwan along with Land Bank of Taiwan, and Central Trust of China on Dec. 29, 1999. Mainly, the frame of this thesis is composed of three sections. The first section starts with the historical introduction of some M&A cases along with the achieved aposteriori synergy that happened in USA, Japan and Taiwan previously. The major topic in the second section is to highlight the intrinsic restrictions of state-owned banks and additionally predicts the possibly upfront problems after merger. Finally, for the case of M&A among Bank of Taiwan, Land Bank of Taiwan and Central Trust of China, an dedicate analysis of cost/benefit in associate with individual SWOT of each bank at different stages during merging process has been discussed in the last section. In the meanwhile, four possible merger mechanisms such as controlled via “the universal bank”, “the subsidiary under the holding company”, “the subsidiary under the financial holding company” and “sub-institution under transition investment” have also been proposed. By considering the real situation of market share and compatibility, instead of three-bank-combination, it will be much advantageous if just Bank of Taiwan merges with Land Bank of Taiwan. To effectively raise the competitiveness, beside a required complete plan for merger, some other suggestions such as passing “ the financial holding company law” as soon as possible and speed up the pace of privatization of state-owned financial institutions etc have been emphasized too.
|Appears in Collections:||Thesis|