SEARCH ARTICLE

17 Pages : 156-165

http://dx.doi.org/10.31703/gssr.2020(V-III).17      10.31703/gssr.2020(V-III).17      Published : Sep 2020

The Impact of Going Public Decision on Company Performance: Evidence from Pakistan

    This study inspected the association of company performance with the choice of IPO of the firm's registered on the Pakistan Stock Exchange. In particular, two dimensions of performance, Return on Sales and Return on Asset as operating and Tobbin Q as Market performance as dependent variables, Bank debts, Capital Expenditure, Ownership Concentration, Sales Growth and Firm Size as independent variables along with the age of the firm as control variable have been used. Sample of 40 Pakistani IPOstaken for the period of 2005-2016. OLS inferences confirmed that the performance of both pre-IPO and Post-IPO show an influential association with the independent variables. This study provided a path to smaller firms that are in the process to go public. Whereas glimpses for the investors also provided who want to add profitable securities to their portfolio bucket.

    SECP, PSX, IPO, CDC, Operating Performance, Market Performance
    (1) Ihtesham Khan
    Institute of Business Studies and Leadership, Abdul Wali Khan University, Mardan, KP, Pakistan.
    (2) Sikandar Shah
    MS (Management Sciences), Institute of Business Studies and Leadership, Abdul Wali Khan University, Mardan, KP, Pakistan.
    (3) Wisal Ahmad
    Institute of Business Studies and Leadership, Abdul Wali Khan University, Mardan, KP, Pakistan.

51 Pages : 396-402

http://dx.doi.org/10.31703/gssr.2019(IV-I).51      10.31703/gssr.2019(IV-I).51      Published : Mar 2019

The Impact of Merger and Acquisition on Bank Performance: A Case of Pakistani Banking Sector

    Merger and acquisition is the strategy used by banks to expand its development process. In the current study operating and market performance has been assessed of the Banks exercised the M&A by taking the data from 2005-17. The main focus of the study is to evaluate the Banks performance using data collected from nine banks gone through the merger and acquisition strategy with the help of ordinary least square model. The results show significant relationship operating performance but insignificant relation with market performance. Findings provided an opportunity for the Banks to study and utilize the M&A strategy for capturing market share and further development in the competitive market. Furthermore, a glimpse for potential investors has been provided who want to create a profitable portfolio according to market concentration. The implications demands that proper improvement should be considered for the mechanism and regulatory policies to ensure the security of Banks.

    Return on Assets, Merger and Acquisition, Pakistan Stock Exchange, Banks, Operating Performance, Market Performance.
    (1) Muttalib
    MS Management Sciences, Institute of Business Studies and Leadership, Abdul Wali Khan University Mardan, KP, Pakistan.
    (2) Muhammad Faizan Malik
    Assistant Professor, Institute of Business Studies and Leadership, Abdul Wali Khan University Mardan, KP, Pakistan.
    (3) Shehzad khan
    Assistant Professor, Institute of Business Studies and Leadership, Abdul Wali Khan University Mardan, KP, Pakistan.