Cross Border Acquisitions by Indian Firms: Impact on Acquiring Firm’s Performance and Shareholder Wealth
![Thumbnail](/xmlui/bitstream/handle/10973/34613/2015-06-12-LGK.pdf.jpg?sequence=4&isAllowed=y)
View/ Open
Date
2015-06-12Author
Kulkarni, Lalitagauri
Gokhale Institute of Politics and Economics (GIPE), Pune (India)
Metadata
Show full item recordAbstract
After the regulatory reforms, large firms and industrial houses in India have started actively experimenting with acquisitions of foreign firms. Apparently, the motive behind mergers and acquisitions is to benefit from the synergies generated through the expansion of markets, increased cost efficiency, augmentation of technology and improved financial performance. However, it has been documented in the international literature that in most of the cases, the acquirer firm’s value and shareholder wealth deteriorates after acquisition. The present study aims at examining whether the large scale cross border acquisitions by Indian firms have succeeded in creating shareholder wealth and improving the acquiring firms’ performance. The study examines the impact of outbound cross border acquisitions by the large cap acquirer firms in India on shareholder wealth. ...