Winners and Losers in M&A Game: Evidence from Manufacturing Companies in India

Mergers and acquisitions (M&A) have been widely used by companies around the world and have an ever increasing presence in Indian business. Yet various academic and literature reviews show that there is no conclusive view on whether M&A strategies help in improving performance or deteriorating the same. There are more of (loser) failure companies than success (winner) companies when they adopt M&A. This paper considers the M&A in Indian manufacturing companies and classifies them into success (winner) and failure (loser) cases based on improvement in return on net worth after three years post M&A period.