Board experience and value creation in cross-border acquisitions: The role of acquirer and target country institutions

Jana Oehmichen, Sebastian Firk, Veronika Haas, Michael Wolff

OnderzoeksoutputAcademicpeer review

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Our study investigates the effects of board acquisition experience on value creation in cross-border acquisitions and the dependence of this relationship on acquirer and target country institutions. We draw on cross-border acquisition research and institution-based corporate governance research to argue that the effect of board acquisition experience depends on the institutional characteristics of the acquirer and target countries and on cultural differences between these two countries. Based on 1775 cross-border acquisitions of U.S. and European acquirers, we show a positive effect of board acquisition experience on the announcement returns of cross-border acquisitions, which is even stronger when the target country’s takeover regulations are less friendly and when the target and acquirer countries are culturally more distant.
Originele taal-2English
Artikelnummer101966
Aantal pagina's14
TijdschriftInternational Business Review
Volume31
Nummer van het tijdschrift4
Vroegere onlinedatum13-dec.-2021
DOI's
StatusPublished - aug.-2022

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