Syndicated loan lenders' impact on M&A acquirers' post merger operating performance and creditworthiness : evidence in U.S. M&A deals from year 2005 to 2011
dc.contributor.author | Huang, Jianning | |
dc.contributor.author | University of Lethbridge. Faculty of Management | |
dc.contributor.supervisor | Shao, Pei | |
dc.contributor.supervisor | Tian, Gloria | |
dc.date.accessioned | 2015-10-27T03:38:13Z | |
dc.date.available | 2015-10-27T03:38:13Z | |
dc.date.issued | 2015 | |
dc.degree.level | Masters | en_US |
dc.description.abstract | Financial intermediaries (such as banks) are delegated to monitor borrowers (Diamond, 1984). In the merger wave, many acquirers raise funds by borrowing syndicated loans to fund their M&A deals (Huang, Lu, & Srinivasan, 2012). However, banks’ monitoring of borrowers does not enhance firm value to the extent that the acquirers’ shareholders can benefit (Huang et al., 2012). Based on unadjusted measures, we found that M&A deals financed by syndicated loans experience better post-merger operating performance (ROA) and creditworthiness (Altman’s Z Score and EDF). M&A deals financed by relationship lenders experience better post-merger operating performance (ROA) and creditworthiness (EDF). M&A deals financed by reputable lenders experience better post-merger operating performance (ROA) and creditworthiness (Altman’s Z Score and EDF). However, M&A deals financed by institutional lenders experience worse post-merger operating performance (ROA) and worse creditworthiness (EDF), and transactional lenders have almost no impact on the borrowers’ post-merger operating performance and creditworthiness. | en_US |
dc.embargo | No | en_US |
dc.identifier.uri | https://hdl.handle.net/10133/3767 | |
dc.language.iso | en_CA | en_US |
dc.proquest.subject | 0508 | en_US |
dc.proquestyes | Yes | en_US |
dc.publisher | Lethbridge, Alta. : University of Lethbridge, Faculty of Management | |
dc.publisher.faculty | Management | en_US |
dc.relation.ispartofseries | Thesis (University of Lethbridge. Faculty of Management) | |
dc.subject | creditworthiness | |
dc.subject | M&A | |
dc.subject | post-merger performance | |
dc.subject | syndicated loans | |
dc.title | Syndicated loan lenders' impact on M&A acquirers' post merger operating performance and creditworthiness : evidence in U.S. M&A deals from year 2005 to 2011 | en_US |
dc.type | Thesis | en_US |