INTERNATIONAL JOURNAL OF ENGINEERING MANAGEMENT AND
SOCIAL SCIENCES

Inter - firm differences in mergers and acquisition: evidence from select pharmaceutical sector in india

This study examines the inter-firm differences in mergers and acquisitions (M&A) among selected pharmaceutical companies in India to evaluate their impact on financial performance and shareholder value. Mergers and acquisitions have become important strategic tools for pharmaceutical firms to achieve business expansion, improve operational efficiency, strengthen market position, and enhance competitiveness in the rapidly evolving healthcare industry. The study compares the financial performance of selected pharmaceutical companies involved in mergers and acquisitions over a six-year period, including three years before and three years after the merger or acquisition. The research focuses on key financial indicators such as profitability, liquidity, leverage, and efficiency to identify differences in performance among firms. The study is based on secondary data collected from annual reports, audited financial statements, company publications, and reliable financial databases. Descriptive statistics and a paired sample t-test are used to analyze the financial performance before and after mergers and acquisitions and to identify significant inter-firm differences. The findings provide insights into whether mergers and acquisitions have contributed to improved financial performance and value creation across the selected pharmaceutical companies. The study will be useful for investors, corporate managers, policymakers, financial analysts, and researchers in understanding the effectiveness of mergers and acquisitions in the Indian pharmaceutical sector.