Mergers and Acquisitions - Financial Institutions
For decades, domestic financial institutions were mired in extreme and fierce competitions. Individual financial institutions were limited in operating scale, and could not distinguish themselves with more varied products and services. This led to cut-throat competitions; credit quality was affected, bank runs occurred in basic financial institutions, or financial institutions went bankrupt or being taken over due to poor management. Against such background, mergers and acquisitions ("M&A") of financial institutions played an important role. Financial institutions may increase market shares or widen the variety of products or services by way of M&A. Our firm's financial M&A practice group assists clients with legal framework of M&A, and in mitigating legal risks and resolving M&A related legal issues.
Our firm has long term experience involving and participating in legislation and amendment to M&A related regulations. Based on our in depth knowledge and experience in this area, we also contributed advices on drafting and amending the Financial Institutions Merger Act, Financial Holding Company Act and other important financial M&A related regulations so as to assist the government in establishing a perfect legal environment for financial institutions.
Our M&A-Financial Institutions practice group assists clients in handling share acquisition, share exchange, government approval application, tax planning and consultancy, merger of financial institutions, share swap, labor and employer relations, financial M&A dispute, company spin-off, financing for M&A (securities issuance)/loan, planning for every type of cooperation and joint venture framework, and other consultancy services relating to the Financial Institutions Merger Act, Financial Holding Company Act and other laws and regulations regarding finance. In recent years, we have assisted private equity funds in acquiring domestic banks and provide services and innovation in those new types of financial M&A.
Clients seeking our professional legal services include foreign and domestic banks, investment banks, securities companies, insurance companies, securities investment trust companies, securities investment consulting companies and other financial institutions as well as central and local government departments at all levels. In addition, we cooperate with foreign law firms in many countries and regions to assist domestic financial institutions in conducting commercial activities worldwide including in the People's Republic of China ("PRC").
In recent years, with the government gradually opening up cross-strait trade and financial flows, our professional teams are heavily involved in aggressively assisting PRC financial institutions in establishing representative offices or branches in Taiwan, while also assisting domestic financial institutions in establishing strongholds and presence throughout the PRC.