Forbes.com Mergers And Acquisitions

By: Forbes staff

NEW YORK - The thunderous clap of mega-bank mergers has turned into a steady downpour. In just the first seven weeks of 2004, according to SNL Financial, U.S. financial institutions have announced 33 deals for $77 billion, compared to 231 deals worth $72 billion for all of 2003

While the planned mergers of Bank of America will give those companies bragging rights in several states, executives at $1.3 trillion giant Citigroup held their ground. Sure, the bank could make a move into Texas, as Wachovia plans, or expand its market on the East Coast or in California, but why stick to stateside regionalism? Citigroup's moves these days concern entire countries. In early February, the company launched its first credit card in China and has recently made a giant step into Korea, with a $2.7-billion offer for KorAm Bank to create Korea's fifth-largest financial business. Following the successful initial public offering for Japan's Shinsei Bank and the prospect of future listings by some of China's biggest banks, investors around the globe will continue to sharpen their sights on Asia's financial sector. That doesn't mean the deal activity in the United States will stop. The country is home to over 9,000 banks and thrifts, according to the Federal Deposit Insurance Corporation. Though big deals garner the headlines, smaller acquisitions and roll-ups will give regional players like National City and Sovereign a chance to be competitive as the horse trading continues