Abstract The operation of commercial banks effects the development of the financial markets and the economy of a country. Many large banks in developed countries develop and get strong by cross-border mergers and acquisitions. With the development of economy and opening up of Chinese financial industry, the competition which Chinese banks face is becoming fiercer and fiercer. At the same time, the effect of joint-stocks reform is obvious now and native steady economic environment makes Chinese banks strong. Therefore, the chance of cross-border mergers and acquisitions is mature. In order to due with the competition from native and foreign banks、become international and improve the operation, Chinese banks make the pace of oversea M&A faster.
In order to research the financial efficiency brought by oversea M&A, this paper choose two cases of cross-border M&A to do analysis. Firstly, this paper introduce theory of M&A including motivation、efficiency and the analytical methods to lay the root for what follows in the paper. Secondly, the paper make introduction of the situation of Chinese oversea M&A. Third, this paper analyzes the financial efficiency brought by cross-border M&A in two ways to see if oversea M&A can make financial efficiency of Chinese banks improve. Finally, the author makes suggestions on how to improve cross-border M&A financial efficiency in order to push the pace of cross-border M&A and improve financial strength of Chinese banks.