International Scientific Journal of Engineering and Management

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ISSN: 2583-6129

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Evaluating the Influence of Mergers and Acquisitions (M&A) on Shareholder Wealth in Indian Banking Sector: A Strategic Analysis

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Evaluating the Influence of Mergers and Acquisitions (M&A) on Shareholder Wealth in Indian Banking Sector: A Strategic Analysis

 

 

Mr. Sachin M

Department of Management Studies, Dayananda Sagar College of Engineering. Sachinm1502@gmail.com

ORCID ID:

Prof. Jayashree K

Assistant Professor Department of Management Studies, Dayananda Sagar College of Engineering. jayashree-mba@dayanandasagar.edu

 

 

Abstract

Mergers and acquisition (M&A) have emerged as key strategic tool for corporate expansion, market consolidation, and competitive advantage. While this transaction is often driven by the pursuit of synergies, cost efficiencies, and enhanced market share, their actual impact on shareholder value remains a subject of significant debate. This study aims to critically assess the influence of mergers and acquisition activities on shareholders wealth by examining financial performance indicators such as stock price movements, earning per share (EPS) and return on equity (ROE) before and after the transaction. Additionally, the research explores factors that determine the success or failures of merger and acquisition deals including corporate governance, cultural integration and economic condition. By analysing case study and empirical data this paper provides insight into how mergers and acquisition strategies can create or decline shareholder wealth. The findings contribute to a deeper understanding of merger and acquisition dynamics and offer valuable implications for investors policy makers and corporate decision makers.

Keywords: Mergers and acquisition (M&A), shareholders wealth and efficiency, financial performance, competitive advantage, globalisation.


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