Firms Performance After Mergers and Acquisition in Indonesia
Author | : Mona Sidjabat |
Publisher | : |
Total Pages | : 16 |
Release | : 2013 |
ISBN-10 | : OCLC:1308976359 |
ISBN-13 | : |
Rating | : 4/5 ( Downloads) |
Download or read book Firms Performance After Mergers and Acquisition in Indonesia written by Mona Sidjabat and published by . This book was released on 2013 with total page 16 pages. Available in PDF, EPUB and Kindle. Book excerpt: Mergers and Acquisitions (M&A) involving firms in Southeast Asia, stand at its highest level since the 2008 financial crisis. Deals worth $105.4 billion have either been completed or are pending completion this year, an increase of more than 50% from the $68.6 billion last year. M&A also occurs in Indonesia due to preferable economic growth during the last decade.Researchers attempt to reveal more explanation regarding the determinants of M&A success. Many of them even pose a doubt questioning if mergers really improves the firms' performance (Kumar, 2009). The objective is to reexamine the firms performance M&A in Indonesia and considering another important aspect of M&A, i.e., the chance of the firms to learn from their previous M&A decisions.The results show that most firms have improved their profitability and liquidity after mergers, but not the operation efficiency. The research indicates preliminary sign of agency problem behind M&A decisions. The results cannot confirm the importance of previous M&A experience.