Corporate social responsibility and stakeholder value maximization: Evidence from mergers

• 成果类型: Article
• 署名作者: Deng, Xin; Kang, Jun-koo; Low, Buen Sin
• 署名单位: Shanghai University of Finance & Economics; Nanyang Technological University
• 刊物名称: JOURNAL OF FINANCIAL ECONOMICS
• ISSN/ISSBN: 0304-405X
• DOI: 10.1016/j.jfineco.2013.04.014
• 发表日期: 2013
• 页码: 87-109
• 关键词: Corporate social responsibility (CSR); Stakeholder theory; Nexus of contract; merger; Announcement return

摘要

Using a large sample of mergers in the US, we examine whether corporate social responsibility (CSR) creates value for acquiring firms' shareholders. We find that compared with low CSR acquirers, high CSR acquirers realize higher merger announcement returns, higher announcement returns on the value-weighted portfolio of the acquirer and the target, and larger increases in post-merger long-term operating performance. They also realize positive long-term stock returns, suggesting that the market does not fully value the benefits of CSR immediately. In addition, we find that mergers by high CSR acquirers take less time to complete and are less likely to fail than mergers by low CSR acquirers. These results suggest that acquirers' social performance is an important determinant of merger performance and the probability of its completion, and they support the stakeholder value maximization view of stakeholder theory. (c) 2013 Elsevier B.V. All rights reserved.