Legal analysis: M&A loan is the most common loan product in commercial trade. According to the regulations of China Banking Regulatory Commission on M&A loans of commercial banks, the term of M&A loans generally does not exceed 5 years, and the proportion of M&A loans in all sources of funds generated by M&A should not be higher than 50%. The M&A loan period can be extended to 7 years if the enterprise merges and reorganizes to resolve overcapacity.

Legal basis: Article 18 of the Guidelines for Risk Management of M&A Loans of Commercial Banks stipulates that the proportion of all M&A loans of commercial banks in the bank's net Tier 1 capital in the same period shall not exceed 50%.

Article 19 A commercial bank shall, according to the development strategy of its M&A loan business, establish a corresponding M&A loan concentration limit control system for single borrower, group customers, industry categories and countries or regions, and report to the CBRC or its dispatched offices.

Article 20 The M&A loan balance of a commercial bank to a single borrower shall not exceed 5% of the bank's net Tier 1 capital in the same period.

Article 21 The ratio of M&A loans to M&A transaction price shall not be higher than 60%.

Article 22 The term of M&A loans shall generally not exceed 7 years.

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The above answer is only for the current information combined with my understanding of the law, please refer carefully!

If you still have questions about this issue, I suggest you sort out relevant information and communicate with professionals in detail.