Payment Method and Post-Performance: Merger and Acquisition Study During Brexit

Abstract

The development that has occurred in business over the last 20 years. Considering enhancing shareholder profit is the corporation’s primary objective, every effort has been made to accomplish it. One way of attaining that goal is through mergers and acquisitions (M&A). The study would propose a study that looks at how payment methods affect acquirer firms' post-announcement performance. The author selected a few M&A transactions carried out by UK corporations by taking advantage of the Brexit moment. The adopted methodology is quantitative and the used approach is event study analysisi. Following that, the analysis of the regression and t-test models to determine how payment methods affected the acquirer firms' CAR (Cumulative Abnormal Return). The result concluded that the payment methods used by those businesses had no effect on the acquirer firms' performance.