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Review of Quantitative Finance and Accounting

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01.07.2013 | Original Research

Pairwise X-efficiency combinations of merging banks: analysis of the fifth merger wave

verfasst von: Jamal Ali Al-Khasawneh

Erschienen in: Review of Quantitative Finance and Accounting | Ausgabe 1/2013

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Abstract

Using the non-parametric data envelopment approach, the long-run profit efficiency of nine pre-classified merger deals of merging and non-merging U.S. banks is investigated during the period from 1992 to 2003 for a sample of 359 merger deals. The findings show that, in general, large acquirers have and maintain higher efficiency scores than targets and non-merging banks. The results also show that merger deals that match least efficient acquirers with the least efficient targets could improve their profit efficiency 4 years following the merger event, which is different than all other merger deals. Finally, value-maximizing mergers are determined to be mostly large and match banks with clear opportunities to increase their future efficiency rankings.

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Titel: Pairwise X-efficiency combinations of merging banks: analysis of the fifth merger wave
verfasst von: Jamal Ali Al-Khasawneh
Publikationsdatum: 01.07.2013
Verlag: Springer US
Erschienen in: Review of Quantitative Finance and Accounting / Ausgabe 1/2013
Print ISSN: 0924-865X
Elektronische ISSN: 1573-7179
DOI: https://doi.org/10.1007/s11156-012-0298-8

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