Cross-Border Mergers and Acquisitions (M&As) in Developing Asia: The Role of Financial Variables
HKIMR Working Paper No. 36/2009
26 Pages Posted: 22 Jun 2010
Date Written: December 31, 2009
This paper examines cross-border M&A activities in a large panel which includes many developing Asian economies. How important are financial drivers of M&As in the region, particularly financial risks such as market risk, credit risk, and liquidity risk? How significant are intra-(developing) Asian M&As and are there differences between intra-regional M&A transactions and M&A purchases by extra-regional sources in developing Asia? These are among the issues explored in this paper using a novel dataset of bilateral M&A purchases in developing Asia over the period 2000-2007.
Keywords: Developing Asia, Distance, Finance, Foreign Direct Investment (FDI), Gravity Model, Greenfield investment, Mergers and Acquisitions (M&As), Risks
JEL Classification: F21, F23, F36
Suggested Citation: Suggested Citation