Merger and Acquisition in Banking Sector

Abstract

Merger and Acquisition is the management and strategy dealing with purchasing and/or merging with another entity .In merger two different organizations combine to make a new business ,usually with a new name.Because the companies involved are typically of smaller size and structure. With the help of merger and acquisition in the banking sector the banks can achieve significant growth in their operation and minimize their expenses. Merger eliminates competitor from banking Industry .This study shows the impact of Merger and Acquisition in the Banking Sector. For this purpose ,a comparison between pre and post merger i.e ROE(Return on equity, EPS(Earning per share),Debt Equity Ratio, Net profit Ratio. In this research paper I have selected merger of ICICI Bank and Bank of Rajasthan, HDFC Bank and Centurion Bank and Kotak with ING Vysya.