Download Bank Mergers by Steven I. Davis PDF

By Steven I. Davis

Why do banks around the globe proceed to merge and traders proceed to motivate such mergers while the great physique of educational learn demonstrates that mergers both upload no price or really decrease stockholder price? A former banker and present advisor to banks within the US and Europe, Mr. Davis addresses this factor by way of a sequence of in-depth interviews with senior executives from over 30 banks with large merger event, in addition to over a dozen banking analysts and experts. Key matters equivalent to the power to accomplish major rate and profit synergies, due diligence, humans choice, IT integration, cultural clash, management and velocity of decision-making are all tested intimately. whereas the interviewees nearly unanimously are expecting an acceleration of the present merger pattern, the e-book concludes with an exam of possible choices to this consensus. It presents suggestions for the long run in focussing at the significance of considerable fee reductions, company and skilled management, effective IT integration and fast determination making. ultimately it means that the deliberate explosion of go border mergers calls for a revision of the previous merger version in keeping with immense brief time period price mark downs.

Show description

Read or Download Bank Mergers PDF

Best banks & banking books

Storytelling in Organizations: Why Storytelling Is Transforming 21st Century Organizations and Management

This publication is the tale of the way 4 busy executives, from diverse backgrounds and varied views, have been shocked to discover themselves converging at the proposal of narrative as a very invaluable lens for realizing and coping with businesses within the twenty-first century. the concept narrative and storytelling should be so robust a device on the planet of organisations was once firstly counter-intuitive.

The Evolution of Central Banks

The Evolution of relevant Banks employs quite a lot of ancient proof and reassesses present financial research to argue that the advance of non-profit-maximizing and noncompetitive vital banks to oversee and control the industrial banking method fulfils an important and average functionality.

The Microfinance Revolution: Sustainable Finance for the Poor

All over the world, a revolution is going on in finance for low-income humans. The microfinance revolution is supplying monetary providers to the economically lively terrible on a wide scale via competing, financially self-sufficient associations. In a number of international locations this has already occurred; in others it truly is below method.

The Silver Bomb: The End Of Paper Wealth Is Upon Us

The Silver Bomb isn't really a e-book approximately a few predictive monetary philosophy, yet particularly a frank, no-excuses glimpse on the present country of items, and a good, candid, examine logical results. The prestidigitations of relevant banking, that have till lately been protected from scrutiny via a cloak of pro-banking cultural bias, are laid naked inside those pages.

Additional info for Bank Mergers

Example text

In the words of Tom Grondahl of Den norske Bank as it enters its second major merger of the decade with Postbanken, when confronted with a merger issue: We can just take out the old material, dust it off, and know exactly how we did it in the past. The role of outside consultants appears to have changed as well. For their first major merger, most of the European banks we met used Planning the Merger 49 teams of up to 50 and more professionals from leading consulting firms to manage the extraordinarily complex execution process.

Conversely, a supposedly unfriendly merger stemming from a contested take-over bid or sale over the head of management by a controlling stockholder can become essentially a friendly one. For example, the Bank Austria/Creditanstalt merger began as a take-over vigorously resisted by the CEO and many executives of Creditanstalt concerned about their purchase by their traditional rival. The opponents soon left the merged bank, but, as Danilo Melamed of Bank Austria acknowledges: Creditanstalt was taken by surprise by our successful offer.

It doesn't serve any purpose except that of the unions, and it unsettles staff and customers. I can't understand why some of our competitors do it! Achieving these savings requires one-off restructuring costs, which are generally booked at the time of the merger. In the US and many 24 Bank Mergers European markets, these approximate one to two times the projected annual savings. In our European interview series, however, we were told of much higher cost/benefit ratios stemming from the need to pay handsome `voluntary' retirement benefits, particularly for senior staff in markets with strong union influence.

Download PDF sample

Rated 4.05 of 5 – based on 15 votes