Waves and Determinants in Mergers and Acquisitions: the Case of Latin America

Publicado en

  • Emerging Markets Finance and Trade

Resumen

  • This article contributes to the current literature on mergers and acquisitions (M&As) by identifying the existence of waves and the determinants of M&A activity in the economies of Argentina, Brazil, Chile, Colombia, Mexico, and Peru. From a sample of 2,391 M&A announcements reported by Thomson One on these countries, applying the methodology proposed by Harford (2005), evidence of M&A waves is found for the periods 1995–2002 and 2003–2010, as reported for other regions in various international studies. After controlling for economic and business environment variables, as well as for profitability and book-to-market variables at the industry level, we find evidence that supports neoclassical theory as a main explanation for M&A activity but not for the misvaluation effect.

fecha de publicación

  • 2017

Líneas de investigación

  • Business Environment
  • Latin American Economics
  • M&A Waves
  • Macroeconomic Environment
  • Mergers and Acquisitions

Página inicial

  • 1667

Última página

  • 1690

Volumen

  • 53

Issue

  • 7