Systematic Review on Financial Performance of Mergers and Acquisitions in India

The Mergers and Acquisitions (M&A) wave was triggered post-liberalization in 1991. The liberalized policies included removal of industrial licensing as well as lifting of Monopolistic and Restrictive Trade Practice (MRTP) Act. The strategies embarked the advent of new emerging scenario where the combining businesses became a well-opted measure to fight the cut-throat competition through better governance in India. The purpose of this article is to review literature already published pertaining to post-merger financial performance of acquirers. The review revealed that the research is mostly focused on the deals which took place in developed nations where M&A came into vogue as early as late nineteenth century. Further, most of them were announcement-related. The review brought out the gap in research undertaken in emerging nations. This article attempts to help the researchers to the understanding of the issues in M&A and recommends avenues for future research.