SIMs Projects, Theses and Dissertations

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Browsing SIMs Projects, Theses and Dissertations by Subject "Acquisitions"

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    A comparative event study on mergers and acquisitions vs corporate bond issuance on the value of banks in Kenya
    (Strathmore University, 2017) Odawa, Janet Consolata Akinyi
    Banks play a crucial role in propelling the entire economy of a nation. African bond markets have been steadily growing in recent years as the numbers of mergers and acquisitions also rise. This study takes on an event study methodology with the use of the market model to determine the impact of events such as M & A’s and corporate bonds issued by listed banks in Kenya. It was found that in comparison mergers and acquisitions have a greater impact on firm value than bond issuance. However both bear the same results in terms of how they impact firm value. They can impact firm value, positively, negatively or not at all.
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    Impact of mergers and acquisitions in the financial sector of the Nairobi Securities Exchange - an event study approach
    (Strathmore University, 2015-11-30) Chege, Kamau Brian
    This paper examines the impact of mergers and acquisitions in the financial services firms listed on the NSE on shareholder wealth in Kenya during the period 2000-20015. With the use of event study methodology, we reject the "semi-strong form" of Efficient Market Hypothesis (EMH) of the Nairobi Securities Exchange. We find that thirty days and ten days prior to the announcement of a merger and acquisition, shareholders receive considerable and significant positive cumulative average abnormal returns (CAARs). Also the results show that significant negative CAARs after the announcement of the deals. The overall results indicate that bank mergers and acquisitions have an effect on the shareholder wealth as the y significantly affect the share prices of the acquiring firm.