@article{MAKHILLRJAS202015610249,
    title = {Impact of Mergers and Acquisitions on Stock Price Behaviour of Merger and Acquirer
Companies in Automobile Industry},
    journal = {Research Journal of Applied Sciences},
    volume = {15},
    number = {6},
    pages = {223-233},
    year = {2020},
    issn = {1815-932x},
    doi = {rjasci.2020.223.233},
    url = {https://makhillpublications.co/view-article.php?issn=1815-932x&doi=rjasci.2020.223.233},
    author = {R. and},
    keywords = {Mergers and acquisitions,stock price behaviour,CAPM,cautomobile industry,GARCH Model},
    abstract = {Mergers and Acquisitions is a corporate
strategy which fetch synergy benefits, accelerate growth,
improves performance quality, acquire technology and
skills and eliminate excess capacity pertaining to the
business. Automobile is one of the fastest growing
industry worldwide. Automobile industry has witnessed
major growth in mergers and acquisitions from 2000 till
2020 worldwide. To study the share prices behaviour and
the impact three analysis and methods are used and those
are Market study method using technical analysis using
the indicator, event-study method by computing
Cumulative Abnormal Returns (CAR) and Developing
GARCH Model. In order to analyse the impact of mergers
and acquisition on the CAR, the Cumulative Abnormal
Return (CAR) is computed for the merger and
acquiring companies using two event windows and
they are -31 days (-15, 0, +15) and 7 days (-3, 0, +3).
t-statistics is computed to analyse whether there is
significant impact or insignificant impact. The expected
return on the stock for each day was calculated using
CAPM Model. To analyse the stock price behaviour,
Autoregressive Conditional Heteroskedasticity (ARCH)
Model is used. Results and outcome revealed that there
was remarkable effect and unremarkable effect on the
abnormal return of mergers and acquisitions.}
    }