Bank mergers, X-efficiency, and the market for corporate control
Article Abstract:
Bank mergers have been evaluated to justify whether the traditional market for corporate control story where better performance is subsequently achieved when well-managed banks purchase poorly managed banks is consistent with the pre-and post-merger X-inefficiency pattern in banks. There were 348 mergers approved by the OCC during 1978 and 1988 evaluated, and results were not consistent with the traditional market for corporate control story. The costs of acquiring banks and their targets have been found to be considerably higher than that of their best practices peers.
Publication Name: Managerial Finance
Subject: Business
ISSN: 0307-4358
Year: 1997
User Contributions:
Comment about this article or add new information about this topic:
Wealth effects of intraholding company bank mergers: evidence from shareholder returns
Article Abstract:
An event study analysis of intracompany bank mergers reveals suggestive results that interstate consolidation of banking companies could yield efficiencies and enhance the companies' profitability. The detection of significant, positive average and cumulative average abnormal returns following a merger also reflect investor expectations but may need further evaluation in terms of size and determinants of gains.
Publication Name: Managerial Finance
Subject: Business
ISSN: 0307-4358
Year: 1997
User Contributions:
Comment about this article or add new information about this topic:
Divestification in interstate banking: the search for related performance profiles between acquiring and acquired banking firms expanding across state lines
Article Abstract:
Research on interstate and cross-border bank mergers in the US, Japan, and Western Europe is presented. There appears to be performance profile differences in interstate banking.
Publication Name: Managerial Finance
Subject: Business
ISSN: 0307-4358
Year: 1999
User Contributions:
Comment about this article or add new information about this topic:
- Abstracts: Reducing insurance costs. A hand in the corporate pocket. Cause related marketing set to take off
- Abstracts: The private client sets the agenda. New faces crop up in corporates territory. The specialists have it
- Abstracts: International stock market efficiency and integration: a study of eighteen nations. A description and market analysis of write-off announcements
- Abstracts: An empirical investigation of the effect of corporate charter antitakeover amendments on stockholder wealth. Corporate governance within the context of antitakeover provisions
- Abstracts: Bear market. Record breaker. Unreasonable?