Performance Changes Around Banks Mergers and Acquisitions: Evidence from Poland

• Autorzy: Katarzyna Budny , Joanna Krasodomska , Katarzyna Świetla

Warianty tytułu

Zmiany w wynikach działalności banków jako efekt fuzji i przejęć: przykład Polski

• Języki publikacji: EN

Abstrakty

EN

This study investigates the influence of M&A on the performance of banks operating in Poland. We use a sample of 14 transactions that occurred in the Polish banking sector from 2001 to 2015. Our data set includes pre and post-merger accounting information covering a period of two years before and after the merger. We follow Pilloff's [1996] approach to determine the average performance changes measured with ROAA and ROAE. According to the research results, M&As transactions seem to affect profitability as both ROAA and ROAE means change. However, these changes do not follow the same trend. The correlations between the acquirer's pre-merger weighted performance measured with ROAA and ROAE and merger-related changes in performance are significant and negative. The same situation is observed as regards the target pre-merger weighted performance measured with ROAE and merger-related changes in performance. The results also suggest that large acquirers are associated with less successful M&A.(original abstract)

This study investigates the influence of M&A on the performance of banks operating in Poland. We use a sample of 14 transactions that occurred in the Polish banking sector from 2001 to 2015. Our data set includes pre and post-merger accounting information covering a period of two years before and after the merger. We follow Pilloff's [1996] approach to determine the average performance changes measured with ROAA and ROAE. According to the research results, M&As transactions seem to affect profitability as both ROAA and ROAE means change. However, these changes do not follow the same trend. The correlations between the acquirer's pre-merger weighted performance measured with ROAA and ROAE and merger-related changes in performance are significant and negative. The same situation is observed as regards the target pre-merger weighted performance measured with ROAE and merger-related changes in performance. The results also suggest that large acquirers are associated with less successful M&A.(abstrakt oryginalny)

Słowa kluczowe

EN

Banks; Mergers and acquisitions

PL

Banki; Fuzje i przejęcia

• Czasopismo: Nauki o Finansach / Uniwersytet Ekonomiczny we Wrocławiu
• Rocznik: 2019
• Tom: 24
• Numer: nr 2
• Strony: 28--44

Twórcy

autor

Katarzyna Budny

• Cracow University of Economics

autor

Joanna Krasodomska

• Cracow University of Economics, Poland

autor

Katarzyna Świetla

• Cracow University of Economics, Poland

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Identyfikatory

DOI

10.15611/fins.2019.2.03