Do Mergers and Acquisitions Increase Market Share and Financial Performance: Evidence from Two Deals in the US Banking Industry

How does the difference in financing influence M&As’ effects on businesses banking industry? Case study method is applied to evaluate two deals, which are BB&T & SunTrust and KeyCorp First Niagara Financial Group (one all-equity financed one cash equity financed). It concluded that 1) activity increase market share, financial performance, shareholders’ abnormal return; 2) affect impacts of M&As, as deals paid by have a more remarkable improvement performance return after M&A.