1 SM

AN EVALUATION OF FINANCIAL PERFORMANCE
BEFORE AND AFTER MERGER AND ACQUISITION OF

SELECT INDIAN BANKS: AN EMPIRICAL STUDY
* Dr Nirmala M. **Anantha Padmanaba S
Abstract :
This research study aims at studying the financial performance of banks before and after the merger by
analyzing financial parameters of both target and bidder. The study is descriptive and analytical &
consider secondary data of select sample banks merged between 2000 to 2010 which include both
public and private sector banks. Statistical tools both descriptive and inferential are applied for
analysis. Statistical parameters such as mean, correlation, t-stat, P Value are applied to arrive at
results. The results signifies that private banks HDFC and ICICI observed synergies in all parameters
compared to public sector banks due to a voluntary merger. On the other hand, the synergies created in
few parameters are offset with negative synergies in other parameters for public sector banks due to
forced merger of weak and loss making entities.
Keywords:
Mergers and Acquisitions, financial performance of banks, Inferential statistics, Bank key performance
parameters.
Introduction counter competition, operational and financial

economies reduced organizational and business
Integration of business entities is a world wide
risks, gain tax benefits, entering new markets &
phenomenon and over a couple of decades, it
geographies, capitalizing on economies of
has experienced an unprecedented in
scale, technology and infrastructural facilities
transforming the economy. Integration has
utilization to its maximum is a couple of
transformed as one of the strategies of all
driving force behind mergers and acquisitions
business entities, being so, the banking industry
(M&A). In the last few decades, M&A is the
is not an exception. One such tool of
focal point of business strategy; many business
Integration is mergers and acquisitions. Merger
organizations either merge or acquire the
and acquisition enhance the value of
weaker in the industry to realize economies of
shareholders for acquirer and target companies
scale, financial synergy, market capitalization
and enable to gain greater access to market
and augmented an impressive activity. M&A
share, control of price, increased profitability.
occurs when two organizations agree to move
M&A enable banks to rapid growth in terms of
forward as a single or joint entity for their
market share, size of the expansion, reduced
mutual benefits, while acquisition occurs when
risk through diversification, synergy benefits,
Dr. Nirmala M. Anantha Padmanaba .S

Research Supervisor Research Scholar
Canara Bank School of Management Studies Canara Bank School of Management Studies
(Post Graduate Department of Management) (Post Graduate Department of Management)
Bangalore University, Bengaluru-01" Bangalore University, Bengaluru-01
Adarsh Journal of Management Research (ISSN 0974-7028 (P) - Vol. : 10 Issue : 2 September 2017 56
an organization purchases some assets, plant, and also to identify synergy from the merger.
equipment, business unit or shares of other The study considers four year before and after
organization or it acquires entire ownership of data for analysis and data type being secondary
other organizations (Sherman 2011). This BSE and Annual reports of companies.
development is the hour of the day, need Parameters like Equity value to Book value of
immediate attention. Though several studies the stock, Equity value to Earnings, Earnings
carried out at different times by different Per Share, Net profit Margin and EBITDA to
individuals and organization, still there is a lot Total Liabilities are used in the study.
to analyze and interpret the phenomenon in Statistical tools like mean and paired t-test
Indian banking sector. applied to test the hypothesis. The study
observed no significant difference in the
Measuring Financial Performance
financial performance of United spirits ltd after
There are several approaches for evaluating acquiring Shaw Wallace & company and
financial performance of M&A depend on how concludes that financial synergies were
well the bank utilizes its assets, shareholders’ insignificant for acquiring company and merger
equities and liabilities, revenues and expenses. has no impact on acquiring company.(Abbas,
The performance evaluation of banks is Hunjra, Azam, Ijaz, & Zahid, (2014),
important for all parties including depositors, “Financial performance of banks in Pakistan
investors, bank managers, regulators, after Merger and Acquisition” is for Journal of
customers and employees etc. Financial Global Entrepreneurship Research. In this
performance of banks under M&A can be paper, the researchers trys to evaluate the
measured through the financial ratio(s) using financial performance of banks operating in
accounting and financial data of pre and post Pakistan as an objective. Researcher has used
M&A. Rehman and Ahmed (2008) compare the financial and accounting data of ten banks
the financial ratios to measure the efficiency of and analysed the variables profitability and
banks. efficiency, leverage and liquidity and pre and
Financial performance can also be measured by post-merger analysis was also carried out. The
Parameters like Deposits, Advances, financial indicators like ROA, ROE, NIM,
Investments, Net Profits, Interest earnings, Spread, EPS, Interest income to Interest to
Interest expenses, Total Assets, Total Income, Interest income, It was observed from the
Net interest margin too.The study carried out results that there was no positive relationship
by measuring overall financial performance by between mergers and acquisition and financial
these parameters. performance of banks in Pakistan and conclude
by stating bank M&A during 1/1/2008 t0
Review of Literature 31/3/2009 period was not doing well. Brajesh
(Prof. Shivaraj B &Nagesh Mr., 2015), “pre- Kumar Tiwari (2014), “A case study of merger
merger & post-merger performance evaluation of Benares state bank ltd. (BSB) with bank of
- a case study on united spirits ltd and Shaw Baroda (BoB)” for Asian journal of
Wallace & company ltd.” Is a paper for management sciences & educationist a study
International Journal of World Research. In this on the performance of bank merger by
paper, the researcher aims at studying the considering financial parameters like capital
financial performance of United Spirits Ltd and Deposits, Investment, Advances etc. Ratio
Shaw Wallace & Co ltd merger as an objective analysis was carried out by researcher to
analyses data. The Merger of Bank of Baroda Profit, Interest earnings, Interest expenses,
with Benares state Bank was studied in the Total Assets, Total Income, Net interest
research. It was observed that financial marginof mergers and acquisitions in banking
performance especially the efficiency increases sector are common and crucial and most of
after merger. The Study conclude that the studies concentrate only on the factors of
capital, Interest, Net profit increase while bidders’ pre and post parameters. But, ignored
Deposits, Investment decrease.(Mahesh & target pre merger parameters in the studies.
Prasad, 2012), “post-merger and acquisition This study focus of both target and bidder pre
financial performance analysis: a case study of merger performance on par with post merger
select Indian airline companies”, is the paper performance of bidder for better understanding
for international journal of engineering and of merger and acquisitions financial
management sciences. In this paper the performance in the post merger scenario.
researcher had the objective to analyze airline
Research Objective
industry after consolidation in 2007-08. The
study tries to analyze the impact of M&A on w To analyze the financial performance
profitability, leverage, liquidity position, and before and after merger and acquisition of
marker standards as parameters of study select Indian Banks
focusing on Indian context with case study
Scope of Study
method. Ratio analysis is used to analyze and
convenience sampling method was adopted for The study covers the five years before and after
collecting data paired t-test and correlation financial statistics for analysis of the select
were used to analyze the data. It was observed sample banks and only banks merged between
in the study that there was an insignificant 2000 to 2010 considered for study
improvement in ROA, expense to income,
Research Design
EPS, DPS and conclude but stating there was
no improvement after merger and acquisition in Sources of data
financial performance of airline industry.
The research is descriptive and analytical the
Research Gap study was carried out by collecting secondary
data through Journals, newspapers, articles,
The term performance has various meaning and
publications, financial magazines, official
defined differently based on the perspective of
websites, RBI reports, SEBI reports, and
the research work carried out like accounting,
financial statements of respective banks. To
financial, operational so on and so forth.
analyze the financial performance of select
Through review of literature it is evident that
Indian banks, an integrated approach was
many research articles on financial
employed using statistical tools like descriptive
performance analysis based on profitability,
statistics, Correlation and the multivariate
liquidity, efficiency, asset quality, capital
regression model and paired t-test
adequacy, leverage, productivity, growth, ROE,
ROA, CAMEL ratios, ratio analysis so on and Sample Universe - The sample universe is
so forth. banks observed merger and acquisitions during
the period from 2000 to 2010 and public and
Financial performance be measured by sum of
private banks operating in India. 10 banks
bidder and target bank pre merger parameters
including both targets and bidder banks for the
like Deposits, Advance, Investments, Net
public and private sector.
Hypothesis Total Income, Interest earned, Interest
expended and Net interest margin are used as
H0 : There is no significant relationship in the
financial parameters. Descriptive statistics like
financial performance of banks were consider mean and paired sample t-test and multivariate
for this study before and after merger and regression model from inferential statistics
acquisitions. were applied for analysis.
Data Analysis
Banks’ financial variables like Deposits,
Advances, Investment, Net profit, Total Assets,
Table -1 – Deposits
Sl Deposits Mean Correlation t Stat P-value Inference
GTB-OBC-Vt+Vb 31712.44
1 0.94675 5.09292 0.01463 Significant Difference
OBC-Vtb 55114.79
NBL-PNB-Vt+Vb 59751.14
PNB-Vtb 123417.02
CBOP-HDFC-Vt+Vb 65056.74
HDFC-Vtb 212351.17
SBL-ICICI-Vt+Vb 193465.90
4 0.78628 2.20417 0.11472 No Significant Difference
ICICI-Vtb 261529.19
UWB-IDBI-Vt+Vb 19643.65
IDBI-Vtb 84484.21
ACRONYM- GTB - Global Trust Bank, OBC- Oriental Bank of Commerce, NBL- Nedungadi Bank, PNB-Punjab National Bank,
CBOP- Centurion Bank of Punjab, HDFC- HDFC bank, SBL-Sangli Bank ltd., ICICI – ICICI Bank, UWB-United Western Bank,
IDBI-IDBI Bank, Vt-Target Bank(Pre M&A), Vb-Bidder Bank(Pre M&A), Vtb-Bidder Bank(Post M&A)
Analysis and Inference: - Deposits are an integral part of the business for the banking sector. Being
so, Deposits show high degree of correlation for Centurion Bank of Punjab& HDFC merger
followed by Nedungadi bank &Punjab National Bank, Least correlation observed for united western
Bank and IDBI bank
It is noticeable from the P Value 0.00170 for HDFC bank and with 0.00248 for Punjab national
bank followed by Oriental bank of commerce with 0.01463 have significant differences indicating
pre merger Deposits of target bank and acquiring bank have considerable influence in creating
synergies from the merger in terms of Deposits.
On the other hand, Sangli Bank with ICICI Bank, P Value- 0.11472 and United Western bank with
IDBI bank, P Value- 0.34430 have no significant impact in creating synergies in Deposits from the
merger.
Table -2 – Advances
Sl Advances Mean Correlation t Stat P-value Inference
OBC-Vtb 35452.30
PNB-Vtb 79672.59
HDFC-Vtb 163967.40
ICICI-Vtb 256050.25
5 -0.72318 -1.81358 0.16739 No Significant Difference
IDBI-Vtb 87810.55
Analysis and Inference: Advances being Nedungadi Bank Ltd. & Punjab National Bank
another integral part of the bank business, with 0.00185 and Sangli Bank Ltd. & ICICI
observes high degree of correlation value of bank reports P Value of 0.03052. All these
0.99348 for Centurion Bank of Punjab & cases the pre merger Advances have
HDFC banks followed by Global Trust Bank & considerable influence on post merger
Oriental Bank of Commerce with 0.99001. Advances there by creating synergy in
Nedungadi Bank Ltd. & Punjab National Bank Advances for respective banks.
with 0.98665 and Sangli Bank Ltd. & ICICI
However, merger of United Western Bank &
with 0.91276 are recorded after. All four cases
IDBI bank showed negative correlation of -
indicates that they are significantly correlated
0.7238 and P Value of 0.16739 indicating pre
in terms of Advances i.e., the pre merger
merger Advances have no influence on post
Advances have considerable influence on post
merger Advances and thereby no synergy
merger Advances for these banks
created. The positive correlation also depicts
It is evident that, least P value, less than 0.0500 that advances have decreased considerably year
standards was from Centurion Bank of Punjab on year after merger.
& HDFC banks with 0.00063 and Global Trust
Bank & and Oriental Bank of Commerce
witnessing 0.00120 and followed by
Table - 3 – Investments
Sl Investments Mean Correlation t Stat P-value Inference
OBC-Vtb 19142.58
PNB-Vtb 46607.04
HDFC-Vtb 79490.21
ICICI-Vtb 152710.84
IDBI-Vtb 41444.37
ACRONYM- GTB - Global Trust Bank, OBC- Oriental Bank of Commerce, NBL- Nedungadi Bank, PNB-Punjab National Bank, CBOP- Centurion
Bank of Punjab, HDFC- HDFC bank, SBL-Sangli Bank ltd., ICICI – ICICI Bank, UWB-United Western Bank, IDBI-IDBI Bank, Vt-Target Bank(Pre
M&A), Vb-Bidder Bank(Pre M&A), Vtb-Bidder Bank(Post M&A)
Analysis and Inference : Industry investments value of 0.97337 which is close to 1.00 followed
are one of the key element of banking structure. by Centurion Bank of Punjab & HDFC bank with
It is clear from the above table that Global Trust 0.93552 and United Western Bank & IDBI with
Bank & Oriental Bank of Commerce P Value at 0.90357.
0.16590 and Nedungadi Bank Ltd. & Punjab The P Value of 0.00520 observed for ICICI bank,
National Bank P Value at 0.33115 and also poor 0.01946 for HDFC bank and) .03542 for IDBI
correlation score with 0.55410, 0.72487 and bank is less than p. value of 0.05 indicating
0.55536 all are far away from 0.99 to 1.00 score considerable impact of Pre-Merger Investments
Private sector banks have observed reasonably on post merger Investment. It can be inferred by
good correlation compared to public banks post the above results that public sector banks have
merger Investments. It is evident that Sangli not made considerable Investments post merger
Bank Ltd. & ICICI bank observe correlation as compared to private sector banks.
Table -4 – Net-Profit
Sl Net profit Mean Correlation t Stat P-value Inference
OBC-Vtb 580.67
PNB-Vtb 1509.39
HDFC-Vtb 4202.68
ICICI-Vtb 6755.51
5 -0.90272 -3.63421 0.03589 Significant Difference
IDBI-Vtb 762.07
Analysis and Inference:- Net profit or Western Bank & IDBI merger observe negative
operating profit is an indicator of business correlation due to the fact that target bank had
being run successfully. Nedungadi Bank Ltd. & registered negative Net profit in pre merger
Punjab National Bank has observed the period. However, IDBI has performed well in
correlation value of 0.87683 with no significant post merger scenario indicating significant
relationship in terms of Net profit for Punjab difference with P Value recording 0.03589.
National Bank after merger. However, in all
HDFC bank accounts P Value of 0.00266 and
cases registered significant correlation.
Oriental Bank of Commerce bank at 0.0191.
Centurion Bank of Punjab & HDFC merger has
ICICI bank accounts P Value 0.02672 and
recorded 0.98296 level of correlation followed
IDBI bank with P Value 0.03589. In all the four
by Global Trust Bank & Oriental Bank of
cases Net profit of pre merger period have
Commerce with 0.94132. Sangli Bank Ltd. &
considerable impact on post mergerNet profit
ICICI bank records 0.92022 correlation is less
and thereby creating synergies in Net profit.
compared HDFC bank and Though United
Table -5 – Interest Earned

Sl Interest Earned Mean Correlation t Stat P-value Inference
OBC-Vtb 4598.89
PNB-Vtb 10325.24
HDFC-Vtb 22956.92
ICICI-Vtb 33895.48
IDBI-Vtb 9330.25
Analysis and Inference:-Interest Earned is an Commerce, the correlation value of 0.83108 is

important source of income apart from other not significant indicating a poor relation
income for any bank. The correlation value of between pre and post merger Interest earnings.
0.99761 is for Centurion Bank of Punjab &
HDFC bank observes highly significant with P
HDFC followed by Nedungadi Bank Ltd. &
Value of 0.00014 followed by Punjab national
Punjab National Bank. Sangli Bank Ltd. &
bank with 0.00141 then P Value of 0.00604 was
ICICI bank accounts for 0.97056 and though
recorded for ICICI bank and despite negative
negative United Western Bank & IDBI have
Interest earnings, IDBI bank has a significant P
observed significant P Value of 0.04771 well in
Value 0.0477 which is less than 0.05 indicating
the standard of less than 0.05. It is noticeable
pre merger Interest earnings of all respective
from Global Trust Bank & Oriental Bank of
bank have considerable influence in creating Interest earning synergies in post merger period.
However, merger of Global Trust Bank & Oriental Bank of Commerce bank failed to create synergy
in Interest earnings and recorded a P Value of 0.08120 more than significance standard of 0.05.
Table - 6 – Interest Expended

Sl Interest Expended Mean Correlation t Stat P-value Inference
OBC-Vtb 3007.31
PNB-Vtb 5655.85
HDFC-Vtb 12065.16
ICICI-Vtb 22254.00
IDBI-Vtb 8272.73
Analysis and Inference :- Interest expended is accounts P Value of 0.00560 and IDBI bank
an expense incurred to generate income. has P Value of 0.03005 less than 0.05 standard
Centurion Bank of Punjab & HDFC bank of Significance.
observe 0.98916 of correlation followed by
However Global Trust Bank & Oriental Bank
Sangli Bank Ltd. & ICICI bank with 0.97200
of Commerce and Nedungadi Bank Ltd. &
and United Western Bank & IDBI recorded
Punjab National Bank with P Values 0.24567
negative correlation of -0.91368 but still has a
and 0.09416 respectively have accounted for no
significant influence of pre mergerInterest
significant impact on Interest expenses of pre
expenses on post expenses.
merger on post mergerInterest expenses.
HDFC bank has a P Value of 0.00135 is highly
significant in Interest expenses. ICICI bank
Table -7 – Total Assets
Sl Total Assets Mean Correlation t Stat P-value Inference
OBC-Vtb 63731.00
PNB-Vtb 146503.57
HDFC-Vtb 284264.67
ICICI-Vtb 474943.35
IDBI-Vtb 144213.91
Analysis and Inference:- Assets are essential for a business. Centurion Bank of Punjab & HDFC
bank have a correlation value of 0.98110 and Nedungadi Bank Ltd. & Punjab National Bank with
0.96941 followed by Global Trust Bank & Oriental Bank of Commerce with 0.95590 and Sangli
Bank Ltd. & ICICI bank with 0.92330 and Banaras State Bank & Bank of Baroda with 0.82679 and
United Western Bank & IDBI with 0.71541 have poor correlation.
Centurion Bank of Punjab & HDFC bank with P Value of 0.00311 observed high level of
significance compared to all other cases. Nedungadi Bank Ltd.&Punjab National Bank with P Value
of 0.00639 and Global Trust Bank & Oriental Bank of Commerce with P Value 0.01104 followed by
Sangli Bank Ltd. & IDBI bank with P Value of 0.02521 indicating pre merger Total Assets have
significant impact on post merger Total Assets in creating synergies from merger. However, Banaras
State Bank & Bank of Baroda and United Western Bank & IDBI with P Value of 0.08425 and
0.17426 respectively have no significance in creating synergies after merger.
Table -8 – Total Income

Sl Total Income Mean Correlation t Stat P-value Inference
OBC-Vtb 4956.12
PNB-Vtb 12056.97
HDFC-Vtb 27699.46
ICICI-Vtb 41938.81
IDBI-Vtb 10909.47
Analysis and Inference:- Income is important Centurion Bank of Punjab & HDFC bank
component of a business. The excess of income observed P Value of 0.00008 indicating highly
over expenses result in profit. Centurion Bank significant synergies of income compared to all
of Punjab & HDFC bank have a correlation other cases. As Nedungadi Bank Ltd. & Punjab
value of 0.99841 followed by Nedungadi Bank National Bank with P Value of 0.00437 and
Ltd.7 Punjab National Bank with 0.97627 and Sangli Bank Ltd. & ICICI bank with 0.01609
Sangli Bank Ltd. & ICICI bank with 0.94324 followed by United Western Bank & IDBI with
have significant relationship for pre merger and P Value 0.00941 are less than 0.05 but
post merger incomes of respective banks. comparatively more than HDFC P Value in
however United Western Bank & IDBI creating synergies from income component
after merger.
correlated but negatively and accounted for
0.00941 P Value less than 0.05 standard for Global Trust Bank & Oriental Bank of
significance. Global Trust Bank & Oriental Commerce have observed a P Value of 0.05583
Bank of Commerce with negligible correlation just above the significant standard and have no
value of 0.86893 and not significantly significant impact on income after merger.
correlated.
Table -9 – Net interest margin

Sl Net interest margin Mean Correlation t Stat P-value Inference
OBC-Vtb 1591.58
PNB-Vtb 4669.39
HDFC-Vtb 10891.76
ICICI-Vtb 11641.48
IDBI-Vtb 1057.52
Analysis and Inference:- It is the difference of Interest income and Interest expense. Centurion
Bank of Punjab & HDFC bank have observed a correlation 0.99525 followed by Sangli Bank Ltd.
& ICICI bank with 0.93207 and Global Trust Bank Oriental Bank of Commerce with 0.92474
indicating significant correlation between pre and post merger Interest difference. However,
Nedungadi Bank Ltd. & Punjab National Bank, United Western Bank & IDBI have poor correlation
with values 0.86451 and 0.28748
Centurion Bank of Punjab & HDFC with P Value of 0.00039 and Sangli Bank Ltd. & ICICI bank
with 0.02104 followed by Global Trust Bank & Deposits and Advances. As Advances are
Oriental Bank of Commerce with 0.02450 more than Deposits, Interest on Advances
indicating pre merger Net interest margin have increased Interest income for Punjab
considerable impact on post merger Net national Bank
interest margin thereby creating synergies from
• ICICI bank and Sangli bank ltd. Merger
merger through effective utilization of
observes the synergies better than other
resources. However, Nedungadi Bank Ltd. &
bank mergers in terms of Interest earned,
Punjab National Bank and United Western
Interest expended and Investments with p
Bank & IDBI have no significant impact in
Value of , 0.00604, 0.00560 and 0.00520
post merger Net interest margin. It is evident
indicating post merger ICICI bank has
that though IDBI bank merger have significant
significant increase in Interest income but
Interest income in post merger period. due to
not as effective as Interest expense and
negative losses incurred by United Western
Investments.
Bank in pre merger period is offset by income
of IDBI in post merger period. • IDBI bank and United western bank
merger observes negative synergy in
Findings
Interest expended and positive synergies
• HDFC bank and CBOP merger observed for Investment and Net profit with P value
highest significance with 0.00008 for Total of 0.03005, 0.03542 and 0.03589
Income and 0.00014 for Interest earned respectively. It is evident that Post merger
and 0.00039 for Net interest margin Interest expense have increased
indicating synergies of Interest income significantly. However, Investments and
have increased significantly post merger Net profits also have increased but not as
compared to any other bank mergers. much as Interest expense. It is because of
the Negative profits incurred by UWB in
• OBC and Global trust bank merger
pre merger period off set by profits earned
observed the best synergies compared to
by IDBI bank resulted in significance of
other bank mergers in terms of Advances,
Interest expense ahead of Net profit and
Total Assets and Deposits with P Value of
Investment synergies.
0 . 0 0 1 2 0 , 0 . 0 11 0 4 a n d 0 . 0 1 4 6 3
respectively. It is evident that post merger Conclusion
Advances increased more than the deposits
HFDC Bank observed P Value less than 0.05
Total Income increase indicating the
indicating synergies in all the parameters.
positive part of Advances.
ICICI Bank witnesses P Value less than 0.05
• Punjab National Bank and Nedungadi signifying synergies in all the parameters
bank ltd., observed synergies in terms of except Deposits. IDBI Bank P Value less than
Deposits, Advances and Interest earned 0.05 noticing synergies in Investment, Net
with P Value of 0.00248, 0.00185 and profit, Interest earnings , Interest expended and
0.00141 respectively. It is evident that Total Income. But, not significant in Deposits,
Interest earnings have significantly Advances, Total Assets and NIM. OBC Bank P
improved after merger compared to Value less than 0.05 specify synergies in
Deposits, Advances, Net profit, Total Assets acquisition financial performance of banks
and NIM. But, Not significant in Investments, in pakistan, 6(4), 177–190.
Interest earned, Interest expended and Total
Banik, b. P., & das, p. C. (2013). Comparison
Income. PNBbans’P value less than 0.05
of financial performance of state owned
comprehend synergies in Deposits, Advances,
commercial banks : a case study of
Interest earned, Total Assetsand Total Incomes.
bangladesh, 2(2), 423–428
But not significant in Investments, Net profit,
Interest expended and NIM. Ongore, v. O. (2013). Determinants of financial
performance of commercial banks in
HDFC Bank followed by ICICI Bank
kenya, 3(1), 237–252.
ascertains synergies in all parameters indicating
successful post merger performance compared Joshi, v., & author, c. (2012). Merger and
to other bank indicating voluntary mergers acquisition in banking industry : a case
have positive synergies compared to forced study of, 2, 30–40.
mergers their by merger success. The negative
Chaudhary, k., &sharma, m. (2011).
performance of weak banks affect the overall
Performance of indian public sector banks
performance of strong banks evident from
and private sector banks : a comparative
IDBI and United western bank merger.
study, 2(3), 122413.
Negative profits and volume impacted on post
merger performance, is evident form NBL and Mahesh, r., & prasad, d. (2012). Post merger
Punjab National Bank. and acquisition financial performance
analysis : a case study of select indian
The success of merger depends on creating
airline companies, 3(3), 362–369.
synergies in all parameters than in only few
parameters of performance. HDFC bank and Alexandru, C., Genu, G., Romanescu, M.L.
ICICI bank are the examples in creating (2008), The Assessment of Banking
synergies in all parameters of financial PerformancesIndicators of Performance in
performance than other banks is evidences for Bank Area. MPRA Paper No. 11600.
successful mergers executed. Athanasoglou, P.P., Sophocles, N.B.,
References Matthaios, D.D. (2005) Bank-specific,
industry-specific and macroeconomic
Abbas, q., hunjra, a. I., azam, r. I., ijaz, m. S.,
determinants of bank profitability.
&zahid, m. (2014). Financial performance
Working paper, Bank of Greece. 1(1), 3-4.
of banks in pakistan after merger and
acquisition, 1–15 Weblinks
Fatima, t., shehzad, a., sciences, a., & sciences, https://www.sbi.co.in
a. (2014). An analysis of impact of merger http://www.bankofbaroda.co.in/fin/fin_fy2003_
and acquisition of financial performance balsheet.asp
of banks : a case of pakistan, 5, 29–36.
https://www.hdfcbank.com/htdocs/common/pdf
Hunjra, a. I., saeed, r., &ijaz, m. S. (2014). /corporate/financialreport2002-3.pdf
Analysis of pre and post merger and
https://www.icicibank.com/aboutus/annual.pag https://link.springer.com/article/10.1186/s4049
e 7-014-0013-4
https://www.idbi.com/pdf/annualreport/Annual http://www.iiste.org/Journals/index.php/JPID/a
Report_2004-2005.pdf rticle/view/12032
https://www.obcindia.co.in/obcnew/site/inner.a http://www.indianjournaloffinance.co.in/index.
spx?status=2&menu_id=66# php/IJF/article/view/85843
https://www.pnbindia.in/ http://www.journalijar.com/article/2556/perfor
mance-of-indian-public-and-private-
http://www.moneycontrol.com/financials/punja
sector-banks--a-comparative-study/
bnationalbank/balance-sheet/PNB05
http://www.econjournals.com/index.php/ijefi/ar
http://www.banknetindia.com/banking/gtb2.ht
ticle/view/334/pdf
m
https://www.google.co.in/?gfe_rd=cr&ei=2tFj
http://economictimes.indiatimes.com/state-
WaqjBvDI8Aeh3IaABQ#q=PERFORMA
bank-of-india/balancesheet/companyid-
NCE+EVALUATION+OF+BANK+MER
11984.cms
GERS+AND++ACQUISITIONS+
http://www.moneycontrol.com/financials/stateb
ankindia/balance-sheet/SBI
https://www.cmie.com/
https://www.rbi.org.in/

1 SM

Uploaded by

Copyright:

Available Formats

1 SM

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

1 SM

Uploaded by

Copyright:

Available Formats

AN EVALUATION OF FINANCIAL PERFORMANCE

BEFORE AND AFTER MERGER AND ACQUISITION OF

Introduction counter competition, operational and financial

Dr. Nirmala M. Anantha Padmanaba .S

Table -5 – Interest Earned

Analysis and Inference:-Interest Earned is an Commerce, the correlation value of 0.83108 is

Table - 6 – Interest Expended

Table -8 – Total Income

Table -9 – Net interest margin

You might also like