International Journal of Application on Economics and Business
Vol. 1 No. 3 (2023): Agustus 2023

COMPARATIVE ANALYSIS OF COMPANY PERFORMANCE BEFORE AND AFTER MERGERS AND ACQUISITIONS IN COMPANY LISTED ON IDX 2018-2021

Jon Edrick (Faculty of Economics and Business, Universitas Tarumanagara)
Andi Wijaya (Faculty of Economics and Business, Universitas Tarumanagara)



Article Info

Publish Date
28 Aug 2023

Abstract

The purpose of this study is to examine how companies trading on the Indonesia Stock Exchange fared before and after M&A deals were made in the years 2018 through 2021. In this Study, we employed a comparable quantitative approach called "purposive sampling" to collect our data. There are seven suitable businesses to use as examples. Descriptive statistics, a normality test, and the Wilcoxon signed-rank test were employed to analyze the data. There was no discernible change in the financial performance of companies listed on the Indonesia Stock Exchange (IDX) before and after the announcement of mergers and acquisitions, as measured by three financial ratios: return on assets (ROA), return on equity (ROE), and debt to equity ratio (DER), for the period of 2018-2021. Several elements, according to the findings of this research, determine the ultimate fate of mergers and acquisitions. Investors should be aware that mergers and acquisitions do not always improve business efficiency.

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Journal Info

Abbrev

ijaeb

Publisher

Subject

Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Social Sciences

Description

International Journal of Application on Economics and Business (IJAEB) contains articles on the following topics: Entrepreneurship studies, Business studies, Management studies, Accounting studies, Economics ...