Determination of the effects of mergers and acquisitions on the financial performance of publicly traded firms

Many different methods are used to measure the impact of acquisitions and mergers on companies' financial performance. Financial ratio analyzes of the companies have been made in the conducted studies, and the changes that have occurred have been analyzed by comparing the past data with the post-transaction data. In this study, the transactions made by the companies included in the BIST 100 index are discussed. In the data set that examines the merger and acquisition transactions between 31.12.2012 and 31.12.2016, the changes in the financial ratios of 35 different companies were examined. Throughout the study, anecdotes about the acquisition and merger were given and the necessary information was shared. In the last part, with the help of the financial statements, 7 different rates were analyzed for each company before the merger and acquisition, and the same rates were calculated and compared with the 3-year data after the transaction. As a result, it has been determined that the merger and acquisition transactions have a negative impact on the financial structures of companies. However, it was revealed that only 4 out of 7 rates had a significant difference.