Mandatory Financial Disclosure and M&A Activity

• 成果类型: Article
• 署名作者: Ortiz, Marcelo; Peter, Caspar David; Urzua, I. Francisco; Volpin, Paolo F.
• 署名单位: Pompeu Fabra University; Barcelona School of Economics; Erasmus University Rotterdam - Excl Erasmus MC; Erasmus University Rotterdam; City St Georges, University of London; Drexel University; City St Georges, University of London
• 刊物名称: REVIEW OF FINANCIAL STUDIES
• ISSN/ISSBN: 0893-9454
• DOI: 10.1093/rfs/hhad052
• 发表日期: 2023
• 页码: 4788
• 关键词: PRIVATE FIRMS; INFORMATION; mergers; uncertainty; QUALITY; size

摘要

Taking advantage of the implementation of the 2003 European Commission (EC) directive on financial reporting, we explore the impact of mandatory financial disclosure on mergers and acquisitions (M & A). We find robust evidence that the number (and volume) of private firms becoming an M & A target increases with mandatory disclosure. Analyses of cross-industry differences, deal-level data, and post-deal performance indicate that financial disclosure increases M & A activity by reducing information frictions in the market for corporate control. Authors have furnished an , which is available on the Oxford University Press Web site next to the link to the final published paper online