THE IDIOSYNCRASIES OF THE EUROPEAN MARKET OF CORPORATE CONTROL
39 Pages Posted: 20 May 2020 Last revised: 8 Oct 2020
Date Written: October 5, 2020
This paper provides a comprehensive descriptive analysis of the European market of mergers and acquisitions (M&A) between 1990 and 2017. We examine several features of the deal announcements in the region like: 1) completion; 2) method of payment; 3) geographical scope; 4) target’s attitude; 5) bidders’ competition; 6) industry relatedness; 7) public status of the firms involved; and 8) acquirers’ ownership of targets before and after the transaction. Additionally, we identify the similarities and differences of this market with those of the dominant market worldwide, namely the US. Both markets show similar trends in their activity and the occurrence of waves concentrated around economic shocks. However, the European market notably exhibits higher levels of friendly and cash deals.
Keywords: Mergers and acquistions, Europe, Acquisitions, Restructuring, Corporate Governance
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