China continues the American takeover with banks! NO!

Chinese banks eye Asian American banks for US entry.

As Chinese banks try to take advantage of an easier regulatory regime to enter the U.S. market, Asian American banks could become natural targets for these big players, analysts say.

Chinese bankers have complained that it has been difficult for them to set up branches or invest in banks in the world’s leading economy, due partly to U.S. regulators’ tough supervision and strict approval process for financial deals.

Chinese and U.S. regulators are now working on a memorandum of understanding (MoU) to encourage Chinese financial institutions to buy into small and medium-sized banks in the United States by relaxing investment rules.

Asian American banks that cater to ethnic Asian communities in the United States would be high on the list of the Chinese players once the MoU is finalized.

"I think the Chinese owners would probably gravitate toward the California and New York markets because that is where the highest concentration of ethnic Chinese or Chinese Americans are located," analyst Chris Stulpin of DA Davidson & Co said.

This will be interesting to watch unfold. Not more interesting than the Tiger saga though.

Read more at www.reuters.com