11.10.4 Concluding remarks

As explained in the subsection 11.10.1, the acquiring bank should be viable and capable of absorbing the ailing bank. This is a central requirement which should be met in every case in the T-context and S/T/W-context. Accordingly, the Commission always assesses in these cases whether the acquiring bank is viable and capable of absorbing the ailing bank. The conclusion that this requirement is met, is usually based on i) the fact that the acquiring bank has a strong financial position, ii) the fact that the acquiring bank is much larger than the ailing bank, iii) the fact that the acquiring bank has a good track record in extracting synergies, and iv) the fact that only the good parts of the ailing bank are transferred to the acquiring bank.