Transnational M&A is a strategic approach used by world leading banks to expand business globally and enhance their core competitiveness. Many banks of international dimensions spearheaded by HSBC have made great leap forward in overseas business by transnational M&A. In recent years, although Chinese banks have achieved initial success in setting up overseas establishments, current development model prevents them banks from furthering their business in overseas market. So to expand their overseas business, it is necessary for our commercial banks to copy the successful experience of international banks in transnational M&A. Specifically, Bank of China (BOC) which boosts the largest international network in China should focus on capital restructuring and expand its overseas business by integrating international market resources, whereas ICBC (Industrial and Commercial Bank of China), CCB (China Construction Bank) and BOC (Bank of Communications) pursuing an international outlook may enter overseas market and business areas from a high starting point by setting up holding or participating branches through M & A.