Assessing pre- and post-merger financial performance: A global study of B2B companies across four sectors
Year: 2025
Type: article
Abstract: This study contributes to the understanding of the financial performance associated with mergers and acquisitions (M&A) in the business-to-business (B2B) sectors, an area of strategic and economic significance. It examines the pre- and post-merger financial performance of ten randomly selected companies in four distinct B2B sectors, all publicly listed on the National Stock Exchange (NSE) of India. The dataset includes eight years of financial data — four years before and after each M&A event. Sectoral financial ratios such as net profit margin (NPM), return on equity (ROE), and return on assets (ROA) are analysed using descriptive statistics and paired sample correlation to identify performance variations. The use of a convenience sample allows for a longer observation period and a deeper understanding of sector-level differences. The results indicate that post-merger financial performance is significantly determined by both the nature of the acquisition and the specific sector in which the company operates, offering valuable insights for academics, practitioners, and policymakers engaged in strategic financial analysis.
Source: Corporate Ownership and Control
Author: Kannadas Sendilvelu
Institution: Shri Dharmasthala Manjunatheshwara University
Language: English
Subfield: Accounting
Domain: Social Sciences
Open Access status: diamond
OpenAlex ID: W4409505619