Mergers and Acquisitions in India

Agarwal, Ankita (2008) Mergers and Acquisitions in India. [Dissertation (University of Nottingham only)] (Unpublished)

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Abstract

From the past few decades, Mergers and Acquisitions (M&A) have dominated the

environment in which the companies operate. Various researches have also been carried

out where the main focus of the study is on the abnormal returns of the acquirers of the

firm after the merger. The results have revealed that on average, the returns to the target

companies are positive and that they gain from mergers. However, the bidder returns may

be zero or negative, but it still remains a puzzle if they gain from mergers in the long-run.

This research investigates the performance of mergers and acquisitions and its impact on

the returns of the acquirers of the firm. A study of 58 mergers and acquisitions of Indian

targets during the period 2003-2008 was undertaken to examine the pre acquisition and

post acquisition returns of acquirers in the long-term by assessing the extent to which

share price performance was abnormal. The main target companies were based in India.

The research methodologies, that is, event study methodology have been employed to

assess the performance of acquirers after the merger activity. The results of the event

study reveal that on an average, the acquiring companies experience a negative CAAR of

-0.69%.

Item Type: Dissertation (University of Nottingham only)
Keywords: MERGERS, ACQUISITIONS
Depositing User: EP, Services
Date Deposited: 29 Oct 2008
Last Modified: 23 Oct 2016 09:52
URI: http://eprints.nottingham.ac.uk/id/eprint/22058

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