Christian-Muslim Theological Dialogue: The Case of Catholic Universities of East Africa

Christians and Muslims interact on a daily basis but as far as their beliefs and practices are concerned, there is a general mutual apprehension, suspicion, stereotyping, mistrust, insulting and even physical confrontations. The aim of this paper, therefore, is to examine how Catholic universities in East Africa can help Christian students and others to rethink their attitudes towards Muslims in view of the official teaching of the Church. The findings from the reviewed formal Christian and Muslim statements show that theological dialogue is valid and necessary for fostering peaceful relations. It therefore urges Catholic universities and other learning institutions to assist students to know more about their own religious traditions and those of others through formal theological training, seminars and provision of reading materials in order to participate effectively in this kind of dialogue.

Determinants of Firms’ Acquisition Ability and its Impact on Cost Efficiency, Operational Hedging and Returns of Acquirer Firms in Pakistan

The capital markets witness phenomenal shifts of corporate control. With the shift of world economy into a global one, there has been a rapid increase in the volume of acquisitions. The previous studies shed light on the motives behinds acquisition and its impact on both bidding and target firm. Less effort has been placed to check the ability of a firm dealing in market of corporate control. This study is bridging in the gap in literature by exploring the factors affecting the acquisition ability of the firm. The study has analysed the role of financial strength, corporate governance related variables and regulatory influence on acquisition ability of acquiring firm. Later on, impact of such acquisition ability has been tested on various firm characteristics like cost efficiency, returns and operational hedging of acquirer firms. Data has been analysed with respect to Pakistan stock Exchange for a period of 2004 to 2012. Empirical analysis indicates that firm specific variables are important determinants in firm’s decision to acquire. Chief Executive Officer duality and institutional shareholders presence on the board contributes to this important phenomenon in the life of the acquiring firms. Bidding firm’s financial strength is also another important considerations. The empirical results indicate the better acquisition ability for firms characterized by minimum capacity utilization, lower level of intangible assets, lower debt levels and lower advertising expenses. Acquisition announcement is an important event in the capital markets. The event study technique indicates the significant abnormal returns after 3 days of acquisition announcement. Cost efficiency has been analysed for bidding firms three years prior to the acquisition and three years post acquisition. Overall results suggest an improvement in the efficiency of financial firms after acquisition. Non-financial sector is indicating opposite results where most of the firms are showing declining trend in efficiency. The percentage change in operational volatility is accounted for as operational hedging. The empirical results show a large level decrease in the operational income volatility after the takeover deal. It shows that combined firm after acquisition bring the benefit of diversification thus reducing volatility and increasing operational hedging which may ultimately reduce financial hedging. So acquiring firms should analyse their strength before going for acquisition deal as acquisition impact their short term and long term performance. Key Words: Corporate Control, Acquisitions, Event Study, Data Envelopment analysis, Operational Hedging, Cost Efficiency, Abnormal Returns