Mergers and acquisitions in the pharmaceutical industry of Europe were studied to see if they create value for the acquiring companies. The researchers used short- and long-term event study methods to analyze abnormal returns for acquirers. Surprisingly, they found that in the short-term, mergers and acquisitions led to significantly positive abnormal returns, and in the long-term, the returns were also positive, though not as significant. This suggests that M&As in the pharmaceutical industry of Europe may benefit shareholders, contrary to previous beliefs that they are value-destroying in the long run.