The case study involves the merger between CIMB (previously known as Bumiputera Bank Berhad) and Southern Bank Berhad (SBB). CIMB Group and Southern Bank, being the target bank is the nation’s second-smallest lender, taken over by CIMB 15 March 2006. The objective of the study is to investigate whether there is any significant difference in the performance of the acquiring company (CIMB) between pre-merger and post-merger periods. This paper uses a sample period of three years crossing-over the announcement date. The performance measure is based on the daily and weekly returns are computed based on the share. Analysis on the daily returns is ranging from 30 days to 360 days, whereas, weekly returns are analyzed using a range of 7 to 78 weeks. A paired sample t-test is adopted. The findings conclude that there are no significant differences between the pre-merger and post-merger periods and hence, on average total share holder value is not really affected by the announcement of the M&A.  However, the results reveal that acquiring firms are bound to experience positive returns in the long run not in the short run.

This paper examines the relationship between the determinants and capital structure of surviving family firm in Malaysia with 151 listed companies from 2000 to 2015. Tangibility, growth opportunities, profitability and liquidity as determinants and short term debt, long term debt and debt ratio are the dependent variables. By using panel data, all determinants are significant to debt ratio for surviving family. In a nutshell, surviving family companies prefer to use internal sources as main priority for financial leverage decisions to sustain its business. The results reveal that surviving companies have sufficient liquid assets, can utilize these funds to finance business activities and have lower leverage.

The study looks at the determinants of capital structure of listed Shariah-compliant companies in Malaysia. It presents a study of the companies included in the Top 100 publicly listed companies in the Main Board of the Bursa Malaysia over the period of 2009 to 2011. The study applies 4 independent variables which are asset tangibility (TANG), growth opportunities (GROWTH), profitability (PROF) and firm size (SIZE while the dependent variable is debt ratio (DR). Panel data analysis on fixed effect model is used in this study. The findings of the study reveal that the debt ratio of Shariah-compliant firms is proved to be significant with growth opportunities and firm size but insignificant with asset tangibility and profitability. This has suggested that the factors are inconsistent for Shariah and non-Shariah compliant companies in determining the capital structure of public listed companies in Malaysia.

This study examines the relationship between corporate governance mechanisms, location, and size of organization with the efficiency of thirteen State Islamic Religious Councils (SIRCs) in managing waqf in Malaysia for the period 2007 to 2013. The measurement of the technical efficiency of the SIRCs uses two basic models of Data Envelopment Analysis (DEA). For the purpose of measuring the efficiency, this study uses three inputs and two outputs selected based on the intermediation approach. Based on efficiency scores, further investigation is made into the factors that are influential to the efficiency level of the SIRCs by evaluating the relationship between location, size of organization and governance mechanisms as measured by board size, board independence and board meeting against efficiency by using the panel data analysis. The findings show only one SIRC is fully efficient and the other twelve SIRCs are inefficient when analysis is done on a full sample of the thirteen SIRCs. Further analysis on the technical efficiency components also reveals that the SIRCs inefficiency mostly caused by managerial inefficiency, not scale inefficiency. Finally, the findings reveal that there is a significant relationship between all efficiency scores with location and the board size signifying that the SIRC Penang almost achieve full efficiency in their management of the waqf. Meanwhile, size of organization and board independence are significant with scale efficiency and pure technical efficiency respectively showing that large size organization are more efficient in their production process and the more outsiders in the board of directors, the less efficient is the SIRCs.

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