A comparative analysis of the financial performance of commercial banks after mergers and acquisitions using Nepalese data
Article
Adhikari, Baburam, Kavanagh, Marie and Hampson, Bonnie. 2023. "A comparative analysis of the financial performance of commercial banks after mergers and acquisitions using Nepalese data." Central Bank Review. 23 (3). https://doi.org/10.1016/j.cbrev.2023.100128
Article Title | A comparative analysis of the financial performance of commercial banks after mergers and acquisitions using Nepalese data |
---|---|
ERA Journal ID | 31196 |
Article Category | Article |
Authors | Adhikari, Baburam, Kavanagh, Marie and Hampson, Bonnie |
Journal Title | Central Bank Review |
Journal Citation | 23 (3) |
Article Number | 100128 |
Number of Pages | 13 |
Year | 2023 |
Place of Publication | Turkey |
ISSN | 1303-0701 |
1305-8800 | |
Digital Object Identifier (DOI) | https://doi.org/10.1016/j.cbrev.2023.100128 |
Web Address (URL) | https://www.sciencedirect.com/science/article/pii/S1303070123000239 |
Abstract | This article investigates consolidation and restructuring in the banking sector in Nepal that was induced by regulatory intervention in recent years. We compare the financial performance of the overall commercial banking sector and selected commercial banks on an individual basis before and after the mergers and acquisitions (M&A) policy intervention. The research employs an analysis of the financial ratios (profitability, liquidity, leverage, and wealth of shareholders ratios) before and after mergers that took place between 2013 and 2020 on a sample of seven Nepalese commercial banks. Hypotheses are tested using a paired sample t-test to measure any significant difference between the pre- and post-merger situations of the acquiring banks’ financial metrics. The findings indicate that the overall commercial banking sector significantly improved their liquidity and leverage ratios in the post-merger period. Other measures, such as the profitability and shareholder wealth ratios showed either mixed or insignificant results after the M&A. The results for selected commercial banks on an individual basis were even less conclusive and mixed. While some banks showed improvement in financial ratios, other results were insignificant. |
Keywords | Mergers and acquisitions; Ratio analysis; Paired t-test; Commercial banks of Nepal; Pre- and post-comparative analysis |
ANZSRC Field of Research 2020 | 350199. Accounting, auditing and accountability not elsewhere classified |
350799. Strategy, management and organisational behaviour not elsewhere classified | |
Byline Affiliations | School of Business |
Permalink -
https://research.usq.edu.au/item/z2520/a-comparative-analysis-of-the-financial-performance-of-commercial-banks-after-mergers-and-acquisitions-using-nepalese-data
Download files
Published Version
134
total views267
total downloads0
views this month1
downloads this month
Export as
Related outputs
The effect of mergers and acquisitions on the financial performance of commercial banks in Nepal
Adhikari, Baburam, Kavanagh, Marie and Hampson, Bonnie. 2023. "The effect of mergers and acquisitions on the financial performance of commercial banks in Nepal." Banks and Bank Systems. 18 (4), pp. 74-84. https://doi.org/10.21511/bbs.18(4).2023.07Revisiting recycled water for the next drought; a case study of South East Queensland, Australia
James, Christina Anne, Kavanagh, Marie, Manton, Carl and Soar, Jeffrey. 2023. "Revisiting recycled water for the next drought; a case study of South East Queensland, Australia." Utilities Policy. 84. https://doi.org/10.1016/j.jup.2023.101626Integrity of assessments in challenging times
Hancock, Phil, Birt, Jac, De Lange, Paul, Fowler, Carolyn, Kavanagh, Marie, Mitrione, Lorena, Rankin, Michaela, Slaughter, Geoff and Williams, Andrew. 2023. "Integrity of assessments in challenging times." Accounting Education: An International Journal. 32 (5), pp. 501-522. https://doi.org/10.1080/09639284.2022.2137818E-tandem Critical Thinking Project: using e-tandem activities to develop critical thinking skills in communities of dispersed learners of English as a first and second language
Ruzic, Natasha Kathleen, Jurcevic, Katica, Dadic, Katarina, Zupancic, Mateja, Piskac, Davor, Tadic, Stipe and Kavanagh, Marie. 2021. "E-tandem Critical Thinking Project: using e-tandem activities to develop critical thinking skills in communities of dispersed learners of English as a first and second language." Jurcevic, Katica, Lipovcan, Ljiljana Kaliterna, Medic, Rino and Ramljak, Ozana (ed.) International Multidisciplinary Scientific Conference MIC — Vis 2020. Island of Vis, Croatia Sagreb, Croatia.Accounting: information for business decisions
Cunningham, Billie M., Nikolai, Loren A., Bazley, John D., Kavanagh, Marie, Simmons, Sharelle and James, Christina. 2021. Accounting: information for business decisions. Melbourne, Australia. Cengage Learning Australia.Factors contributing to student attitude about learning outcomes when engaging and undertaking assessment in teams in accounting courses
Hampson, Bonnie and Kavanagh, Marie. 2021. "Factors contributing to student attitude about learning outcomes when engaging and undertaking assessment in teams in accounting courses." 2021 Accounting and Finance Association of Australia and New Zealand Conference (2021 AFAANZ). Australia 05 - 10 Jul 2021 Carlton, Australia. Accounting & Finance Association of Australia and New Zealand.Investigating the Benefits and Challenges of Workplace Volunteering Experiences for International Students' Employability Literacies
Barton Georgina, Kavanagh Marie, Watson, Marthy, Hartwig, Kay and Hu, Yijun. 2022. "Investigating the Benefits and Challenges of Workplace Volunteering Experiences for International Students' Employability Literacies." Journal of International Students. 12 (3), pp. 777-793. https://doi.org/10.32674/jis.v12i3.3493A Comparative Study of the Effect of Mergers and Acquisitions on the Financial Performance in Commercial Banks in Nepal
Adhikari, Baburam. 2021. A Comparative Study of the Effect of Mergers and Acquisitions on the Financial Performance in Commercial Banks in Nepal. PhD Thesis Doctor of Philosophy. University of Southern Queensland. https://doi.org/10.26192/q7q67Incorporating the environmental dimension into the balanced scorecard: A case study in health care
Khalid, Salim, Beattie, Claire, Sands, John and Hampson, Veronica. 2019. "Incorporating the environmental dimension into the balanced scorecard: A case study in health care." Meditari Accountancy Research. 27 (4), pp. 652-674. https://doi.org/10.1108/MEDAR-06-2018-0360University-community engagement: mentoring in the Pasifika space
Tualaulelei, Eseta and Kavanagh, Marie. 2015. "University-community engagement: mentoring in the Pasifika space." Australasian Journal of University Community Engagement. 10 (1), pp. 87-106.What does internationalisation or interculturalisation look like in the future in the higher education sector?
Hartwig, Kay, Barton, Georgina, Bennett, Dawn, Cain, Melissa, Campbell, Marilyn, Ferns, Sonia, Jones, Liz, Joseph, Dawn, Kavanagh, Marie, Kelly, Ann, Larkin, Ingrid, O'Connor, Erin, Podorova, Anna, Tangen, Donna and Westerveld, Marleen. 2017. "What does internationalisation or interculturalisation look like in the future in the higher education sector?" Barton, Georgina and Hartwig, Kay (ed.) Professional learning in the work place for international students: exploring theory and practice. Switzerland. Springer. pp. 313-324Work Placement for International Student Programmes (WISP): A Model of Effective Practice
Barton, Georgina, Hartwig, Kay, Bennett, Dawn, Cain, Melissa, Campbell, Marilyn, Ferns, Sonia, Jones, Liz, Joseph, Dawn, Kavanagh, Marie, Kelly, Ann, Larkin, Ingrid, O'Connor, Erin, Podorova, Anna, Tangen, Donna and Westerveld, Marleen. 2017. "Work Placement for International Student Programmes (WISP): A Model of Effective Practice ." Barton, G. and Hartwig, Kay (ed.) Professional learning in the work place for international students: exploring theory and practice. Switzerland. Springer. pp. 13-34Assessing whether environmental impact is a criterion of consumers when selecting an airline
McLachlan, Jamie, James, Kieran and Hampson, Bonnie. 2018. "Assessing whether environmental impact is a criterion of consumers when selecting an airline." International Journal of Advanced Research. 6 (3), pp. 740-755. https://doi.org/10.21474/IJAR01/6727The effects of cooperative learning on students’ perceptions of empowerment in accounting course
Zraa, Wahida, Kavanagh, Marie and Johnson Morgan, Melissa. 2012. "The effects of cooperative learning on students’ perceptions of empowerment in accounting course." 16th International Business Research Conference. Dubai, UAE 12 - 13 Apr 2012 Melbourne, Australia.The first class: using icebreakers to facilitate transition in a tertiary environment
Kavanagh, Marie, Clark-Murphy, Marilyn and Wood, Leigh. 2011. "The first class: using icebreakers to facilitate transition in a tertiary environment." Asian Social Science. 7 (4), pp. 84-92. https://doi.org/10.5539/ass.v7n4p84Who should teach what? Australian perceptions of the roles of universities and practice in the education of professional accountants
Howieson, Bryan, Hancock, Phil, Segal, Naomi, Kavanagh, Marie, Tempone, Irene and Kent, Jenny. 2014. "Who should teach what? Australian perceptions of the roles of universities and practice in the education of professional accountants." Journal of Accounting Education. 32 (3), pp. 259-275. https://doi.org/10.1016/j.jaccedu.2014.05.001Academic leaders’ perspectives on adopting ePortfolios for developing and assessing professional capabilities in Australian business education
Holt, Dale, McGuigan, Nicholas, Kavanagh, Marie, Leitch, Shona, Ngo, Leanne, Salzman, Scott, Watty, Kim and McKay, Jade. 2016. "Academic leaders’ perspectives on adopting ePortfolios for developing and assessing professional capabilities in Australian business education." Australasian Journal of Educational Technology. 32 (5), pp. 1-18. https://doi.org/10.14742/ajet.2666Developing a learning environment that promotes best practice through collaboration
Kavanagh, M.H.. 2004. "Developing a learning environment that promotes best practice through collaboration." 2004 Accounting and Finance Association of Australia and New Zealand Conference (2004 AFAANZ). Alice Springs, Australia 04 - 06 Jul 2004 Melbourne, Australia. Accounting & Finance Association of Australia and New Zealand.Sunny Bay Resort: an accounting practice set
Kavanagh, Marie and Brown, Marian. 2005. Sunny Bay Resort: an accounting practice set. Australia. Pearson Education Australia.Sunny Bay Resort MYOB, v. 14 - accounting practice set
Kavanagh, Marie and Brown, Marian. 2005. Sunny Bay Resort MYOB, v. 14 - accounting practice set . Australia. Pearson Education Australia.Sunny Bay MYOB accounting plus v 16 practice set
Kavanagh, Marie and Brown, Marian. 2007. Sunny Bay MYOB accounting plus v 16 practice set. Australia. Pearson Education Australia.Tomass tanks MYOB v 16 accounting practice set
Kavanagh, Marie and Brown, Marian. 2007. Tomass tanks MYOB v 16 accounting practice set . Australia. Pearson Education Australia.Lazydaze feedlot - decisions using MYOB accounting plus v16
Kavanagh, Marie and Brown, Marian. 2007. Lazydaze feedlot - decisions using MYOB accounting plus v16. Frenchs Forest, NSW, Australia. Pearson Prentice Hall.Factors influencing levels of corporate social responsibility disclosure Libyan firms: a mixed study
Bayoud, Nagib Salem, Kavanagh, Marie and Slaughter, Geoff. 2012. "Factors influencing levels of corporate social responsibility disclosure Libyan firms: a mixed study ." International Journal of Economics and Finance. 4 (4), pp. 13-29. https://doi.org/10.5539/ijef.v4n4p13