Abstract
This paper examines the effect of mergers and acquisitions announcements on short-term gain for the acquiring firm's shareholders using the event study method. The study analyses 332 acquiring firms in post-financial crisis era (2009-2015). We report positive wealth effect leading to and on announcement. The effect reverses subsequently. Positive abnormal return leading to announcement indicates leakage of information before the formal announcement. Results of this study is consistent with similar other studies in developed as well as emerging markets.
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