Extending Industry Specialization through Cross-Border Acquisitions

• 成果类型: Article
• 署名作者: Fresard, Laurent; Hege, Ulrich; Phillips, Gordon
• 署名单位: University System of Maryland; University of Maryland College Park; Universite de Toulouse; Universite Toulouse 1 Capitole; Toulouse School of Economics; Dartmouth College
• 刊物名称: REVIEW OF FINANCIAL STUDIES
• ISSN/ISSBN: 0893-9454
• DOI: 10.1093/rfs/hhx008
• 发表日期: 2017
• 页码: 1539
• 关键词: FOREIGN DIRECT-INVESTMENT; geographic concentration; vertical integration; mergers; ECONOMICS; determinants

摘要

We investigate the role of industry specialization in horizontal cross-border mergers and acquisitions. We find that acquirers from more specialized industries in a country are more likely to buy foreign targets in countries that are less specialized in these same industries. The role of industry specialization in foreign acquisitions is more prevalent when contracting inefficiencies and exporting costs limit arm's-length relationships. The economic gains in cross-border deals are larger when specialized acquirers purchase assets in less specialized industries. These results are consistent with an internalization motive for foreign acquisitions, through which acquirers can apply localized intangibles on foreign assets.