G39 - Corporate Finance and Governance: OtherReturn

The expert content of the article is based on my thesis elaborated on theme of processes related to management of combining business entities, on the basis of mergers or acquisitions, concentrated on structuring and an analysis of cardinal factors affecting successfulness of M&A (mergers and acquisitions) processes management. Selection and an analysis of highly relevant methods and procedures for evaluation of M&A processes results are not dealt with here. The method EVA (economic value added) is used for assessment of successfulness and effectiveness of M&A or for evaluation of M&A performance efficiency (post acquisition performance). Other used indicators are EVA/revenues, EVA/assets, EVA/equity capital. Besides, EBITDA/assets and EBITDA/revenues are used to find out some factors influence on successfulness and efficiency of the companies in post acquisition period. The measured period of a performance change in the examined set of companies starts 3years before and ends 3 years after an accomplished acquisition transaction.
Statistical verifying using Wilcoxon's test confirmed six factors with a huge impact on a company performance after an accomplished acquisition. Drawn conclusions obtained within the research examinations of the thesis lead to a proposed package of measures and procedures to manage a M&A project. They increase probability of successfulness and efficiency of implementation of these projects. This set of measures is closely connected with uncovered key factors of M&A successfulness, mainly with a plan of integration process, appointment of the management, a human factor and due diligence.