Abstract
It is reported that Malaysian firms’ aggressive involvement in cross-border merger and acquisition (CBMA) deals started in the early 1990s. This research aims to examine the short-run performance of Malaysian acquiring firms listed on Bursa Malaysia by using abnormal return (AR) and cumulative abnormal return (CAR) for event window (−90,+90), (−60,+60) and (−30,+30). CAR is the proxy for shareholders value creation to measure the short-run performance. Event study method and regression analysis are applied for the study period 2000–2011. The result shows that both firm-specific determinants and macroeconomic variables contribute to the shareholder value creation and are statistically significant for the Malaysian acquiring firms in cross-border mergers and acquisitions. However, only six determinants are parallel with the hypothesized statements.
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Acknowledgment
The researchers would like to express sincere appreciation and thank to Department of Higher Education for the Research Acculturate Grant Scheme which provides financial support for this research.
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Rahim, K.F., Ahmad, N., Ahmad, I., Rahim, F.A. (2016). Short-Run Performance of Malaysian Acquiring Firms in Cross-Border Mergers and Acquisitions. In: Pyeman, J., Wan Rashid, W., Hanif, A., Syed Mohamad, S., Tan, P. (eds) Proceedings of the 1st AAGBS International Conference on Business Management 2014 (AiCoBM 2014). Springer, Singapore. https://doi.org/10.1007/978-981-287-426-9_41
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DOI: https://doi.org/10.1007/978-981-287-426-9_41
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