The impact of performance compensation commitments on mergers and acquisitions (M&As) has been widely discussed, but no consistent conclusions. By investigating M&A events among A-share firms from 2011–2015, we found an inverted U-shaped relationship between performance. PSM is firstly used to select a paired sample firms’ signing commitments, which test the incentive effect commitments...

This study isolated the effects of acquisitions on the long term risk-return performance of acquiring firms involved in related and unrelated diversifying acquisitions. Confounding effects of multiple acquisitions were controlled by studying only those firms that were involved in a single major acquisition over a ten year period surrounding the acquisition date. Acquisitions did not improve the...

Battles for corporate control have increasingly attracted the public spotlight. This attention reflects not only the growth in the number of acquisitions in the 1980s but also the size of the targets. Firms previously thought too large to be takeover targets have been acquired despite active management opposition. Any acquisition, and particularly one involving sizable assets, is likely to resu...

Mergers and acquisitions are important business strategy for growth. Many mergers and acquisitions have failed, however, due to a mismatch between strategic, organizational, and increasingly, information systems factors. Given that a large number of enterprise systems have been deployed in the last decade, their integration post merger is crucial to organizations that pursue mergers and acquisi...

We study the effects of structural changes in banking markets on the supply of credit to small businesses. Specifically, we examine whether bank mergers and acquisitions (M&As) and entry have "external" effects on small business loans by other banks in the same local markets. The results suggest modest positive external effects from these dynamic changes in competition, except that large banks ...

MNEs from emerging economies (EE MNEs) have recently undertaken aggressive cross-border mergers and acquisitions (M&As). This phenomenon challenges the current understanding in the international business literature. Integrating the comparative advantage theory with Dunning’s OLI paradigm, this article develops a comparative ownership advantage framework characterized by five attributes: (1) nat...

Abstract This paper uses the A-share data of listed companies on Shanghai and Shenzhen stock exchanges from 2012 to 2016 Xtlogit model test relationship between managers’ overconfidence M&A (mergers acquisitions) decisions, also directors’ vigilance corresponding robustness was carried out using Xtprobit model. The study found that can significantly promote M&A, board moderate decision-...

The paper examines the motivation for termination fee use by proving evidence on the effects of including a target termination fee in a merger contract. I test the implications of the hypothesis that termination fees are used by self-interested target managers to deter competing bids and protect “sweetheart” deals with white knight bidders, presumably resulting in lower premiums for target shar...

We examine completed M&A deals with large bidder shareholder dollar wealth gains at announcement. Our results show that large-gain acquisitions are (i) typically “bolt-on” deals that are small relative to the acquirer’s size; (ii) transaction-specific events (not firmor CEOspecific events); (iii) enhanced by synergies from a strategic fit in the supply chain; and; (iv) executed by bidders with ...

Diatom algae arose by two-step endosymbiosis. The complete genome of the diatom Thalassiosira pseudonana has now been sequenced, allowing us to reconstruct the remarkable intracellular gene transfers that occurred during this convoluted cellular evolution.