Research on Factors Affecting the Performance of Vietnamese Enterprises After Mergers and Acquisitions

This study aims to evaluate the impact of M&A and financial factors on business performance at 267 Vietnamese firms that carried out at least one M&A transaction during the 2010–2021 period. In order to achieve this research objective, the authors conducted quantitative analyses using a GMM model based on a dataset collected from the companies’ audited financial statements and annual reports. The results indicate that M&A exerts a positive and sustainable effect on business performance. Capital structure and operational capability both have positive impacts, with capital structure being the most influential. Financial risk and solvency negatively affect performance, with solvency (current ratio) having the least impact. This study helps management consider increasing debt ratios within reasonable limits, enhancing operational efficiency, and managing financial risk, while maintaining sufficient liquidity to avoid liquidity shortfalls during M&A implementation.