A Study of Mergers & Acquisitions in Aviation Industry in India and Their Impact on the Operating Performance and Shareholder Wealth

Emerging Markets: Finance eJournal, Vol. 4, Issue 39, April 09, 2012.

Corporate Finance: Governance, Corporate Control & Organization eJournal , Vol. 4, Issue 63, April 05, 2012

27 Pages Posted: 19 Mar 2012 Last revised: 27 Sep 2012

See all articles by Nisarg A Joshi

Nisarg A Joshi

Shri Chimanbhai Patel Institute of Management & Research

Dr.Jay Desai

B.K.School of Business Management, Gujarat University

Date Written: March 17, 2012

Abstract

The objective of this paper is to study, why organizations take the inorganic mode of expansion. However, the main focus is on studying the operating performance and shareholder value of acquiring companies and comparing their performance before and after the merger. To conduct a uniform research and arrive at an accurate conclusion, we restrict our research to only Indian companies. To get a perspective on India, we study aviation sector.

We will test feasibility that mergers improve operating performance of acquiring companies. However on studying the cases, we conclude that as in previous studies, mergers do not improve financial performance at least in the immediate short term.

Keywords: Mergers, Acquisitions, Operating Performance, Pre-Merger Performance, Post-Merger Performance, Aviation Industry

Suggested Citation

Joshi, Nisarg A and Desai, Jay, A Study of Mergers & Acquisitions in Aviation Industry in India and Their Impact on the Operating Performance and Shareholder Wealth (March 17, 2012). Corporate Finance: Governance, Corporate Control & Organization eJournal , Vol. 4, Issue 63, April 05, 2012. Available at SSRN: https://ssrn.com/abstract=2025282 or http://dx.doi.org/10.2139/ssrn.2025282

Nisarg A Joshi (Contact Author)

Shri Chimanbhai Patel Institute of Management & Research ( email )

Opp. Karnavati Club,
S.G. Highway
Ahmedabad, 380015
India

Jay Desai

B.K.School of Business Management, Gujarat University ( email )

Navrangpura
Ahmedabad, Gujarat 380009
India

HOME PAGE: http://www.jaydesai.net

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