Evaluation of the post acquisition performance of UT Bank Ghana limited.
No Thumbnail Available
Date
2016-08
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
KNUST
Abstract
This study was carried out to evaluate the post-merger and acquisition performance of
Banks in Ghana with specific focus on Unique Trust Bank Ghana. Banks mergers and
acquisitions entail a business combination strategy involving one entity (an acquirer)
obtaining control of another entity, an acquire or combination of two or more separate
corporations in such a way that legally a single entity survives or a new entity is formed
without creating a subsidiary or using a joint venture. Mergers and Acquisitions have been
used by business organisations both locally and internationally as strategic synergistic
competition tools. The objectives of the study were to analyse pre-acquisition period
activities of BPI and UT Financial Service; examine the transition procedure of UT
Financial services to UT Bank Ghana Limited from application through assessment of
viability to final approval of the acquisition; assess the post-merger synergy of UT Bank
Ghana Limited in terms of its value, staff, employment, deposits, products and service
offering and; evaluate the post-merger challenges confronting UT Banks operations. The
main instrument employed was a questionnaire to solicit the opinions of management and
employees of UT Bank and a sample size of 100 was used. Frequency tables, pie charts
and bar graphs were used in the discussion of the responses to the questionnaire in
cognizance of the objectives of the study. The findings indicated that integration of people,
organizational cultures and establishment of new leadership; systems and procedures to
standardize operations; products lines and services portfolio were key determinant of
success of mergers and post-acquisition performance. The study also highlighted the
principal post-merger challenges that might escape pre-acquisition professional prognosis.
The study therefore recommended, inter alia, that policies and strategies be established by
management, for instance, Intensive, continual and periodic training programmes for staff
should be put in place to equip staff with knowledge and skills that will up their respective
and collective performances.
Description
A Thesis Submitted to the Department of Accounting and Finance In Partial Fulfilment of the Requirement for the Degree Of Master of Business Administration (Finance-Option)