Product details

By continuing to use our site you consent to the use of cookies as described in our privacy policy unless you have disabled them.
You can change your cookie settings at any time but parts of our site will not function correctly without them.
Published by: Harvard Business Publishing
Originally published in: 1997
Version: 2 April 1998
Length: 31 pages
Data source: Field research

Abstract

Chase Bank and Chemical Bank intend to merge, producing the largest commercial bank in the United States, and the fourth largest in the world. Projected financial benefits under the merger reflect significant planned reduction in operating costs, including 17,000 employee layoffs. Management also expects the merger to produce significant revenue increases as a result of increased economies of scale and scope, and other benefits of size and market leadership. The task of valuing the merger gains, negotiating an acceptable merger price, and implementing the post-merger restructuring is extremely complex.
Location:
Industry:
Size:
Gross revenue GBP15 billion, 75,000 employees
Other setting(s):
1995

About

Abstract

Chase Bank and Chemical Bank intend to merge, producing the largest commercial bank in the United States, and the fourth largest in the world. Projected financial benefits under the merger reflect significant planned reduction in operating costs, including 17,000 employee layoffs. Management also expects the merger to produce significant revenue increases as a result of increased economies of scale and scope, and other benefits of size and market leadership. The task of valuing the merger gains, negotiating an acceptable merger price, and implementing the post-merger restructuring is extremely complex.

Settings

Location:
Industry:
Size:
Gross revenue GBP15 billion, 75,000 employees
Other setting(s):
1995

Related