Effects of Mergers and Acquisitions on Financial Performance of Acquirer Bank: Evidence from Pakistan
Audit and Accounting Review
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Title |
Effects of Mergers and Acquisitions on Financial Performance of Acquirer Bank: Evidence from Pakistan
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Creator |
Amjad, Mahreen
Afraz, Ali |
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Subject |
Mergers
Liquidity Profitability Leverage Assets Quality. Acquisitions Financial Performance |
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Description |
The world is facing the challenge of globalization and other technological advancements and firms consistently pursing to take a competitive edge over its opponents. The objective of this study is to analyze whether Merger and Acquisition have improved the financial performance of the acquirer bank. This study covers the period 2009 to 2012 and eleven banks are selected that go under a process of merger and acquisition, listed on the Pakistan Stock Exchange. Furthermore, financial performance is analyzed with the help of financial ratios. To find out financial performance is statistically significant, paired sample “t” is applied. Results of the study reflect that performance of banks have not improved after mergers and acquisitions. Out of 6 financial ratios, only 3 financial ratios showed significant change after merger and acquisition. Two ratios improved, while one ratio deteriorated. The remaining 3 ratios were not statistically significant. This paper is useful for organizations, Banks as well as for Institute of Banker Pakistan. This paper is equally useful for academic institutions as well as for future researchers.
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Publisher |
School of Commerce and Accountancy, University of Management and Technology Lahore, Pakistan
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Date |
2021-06-30
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Type |
info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion Peer-reviewed Article |
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Identifier |
https://journals.umt.edu.pk/index.php/aar/article/view/1762
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Source |
Audit and Accounting Review; Vol 1 No 1 (2021): Spring
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