IntroductionIf we look at a number of activities different from other activities and market trends, such as privatization and deregulation of financial markets, a very large and rapid method for the consolidation of publicly traded companies, which has taken place in the US, Europe and Asia-Pacific during the last decade and if we monitor and analyze these investment decisions, it is said that the biggest investment decision made by most companies is to merge with other companies. 1According to the literature we assume that markets are efficient and that managers generally focus on the question of whether mergers on average add or destroy shareholder value. Since business managers have two growth choices, organic growth and growth through acquisitions, there are many winners and losers in organic growth investing as well as mergers and acquisitions._______________________1. According to (Chiplin and Wright 1987)/(The new Palgrave Dictionary of Money and Finance, 1992, pp.10.) Both the terms "Merger" and acquisition could be used synonymously. There could be several reasons that could be crucial to make a business merger decision, the reasons could be to achieve economies of scale and scope in production, to increase the size of the business and gain competitive advantage, to achieve risk diversification and potential tax shields, increase market power, replace inefficient managers, improve technological equipment which could also lead to increased innovation. However, the purpose of this paper is to place emphasis on examining mergers in terms of value/profitability, taking into account all possible contributing facts. Mergers To proceed with our report, we will first review some of the literature d...... half of the paper...... (2), pp. 197-216.Ruback, R. (1983), The Conoco Takeover and Stockholders return, Sloan Management Review, vol. 23 (2), pp. 13-33. Stewart C.Myers, Alan J.Marcus and Richard A.Brealey, Fundamentals of Corporate Finance: 3rd Edition (2001) p.588-607Sudarsanam, P.S. (1995). The essence of mergers and acquisitions. Prentice Hall: London.Thompson, N.D. (1978). Mergers and acquisitions, motivations and effects. Royal Commission into Corporate Concentration. Ottawa, Canada. Queen's Printers.Web source:www.bloomberg.com/brief/mergers:- 12/17/19http://www.mergerinvesting.com/historyhttp://uk.finance.yahoo.com/http://www.ifaonline .co.uk/ifaonline/news/1309587/trustnet-merger-financial-express-prestel..http://www.business.com/directory/financial_services/investment_banking_and_brokerage/mergers_and_acquisitions_manda/reference/government/weblistings.asp