INTERNATIONAL JOURNAL OF ENGINEERING MANAGEMENT AND
SOCIAL SCIENCES
(An International Peer-Reviewed Multi-Disciplinary Journal)
ISSN : 3139-065X
www.ijemss.com
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Mergers and acquisitions (M&A) are widely adopted as strategic initiatives to improve operational efficiency, enhance market competitiveness, and create long-term shareholder value. This study examines the impact of Tata Steel Limited's acquisition of Bhushan Steel Limited on Economic Value Added (EVA), a financial performance measure that evaluates whether a company generates returns exceeding its cost of capital. The study compares the pre-acquisition period (2015–2017) with the post-acquisition period (2023–2025). EVA is calculated using Net Operating Profit After Tax (NOPAT), Capital Employed, and Weighted Average Cost of Capital (WACC). Descriptive statistics and comparative analysis are used to evaluate changes in value creation before and after the acquisition. The findings indicate that Bhushan Steel recorded negative EVA during the pre-acquisition period, while Tata Steel achieved an overall positive average EVA in the post-acquisition period, despite fluctuations across individual years. The study concludes that the acquisition contributed to improved economic value creation and strengthened Tata Steel's long-term financial performance.