Aspects of acquirer behaviour in Australian mergers and acquisitions

Nigel Garrow; Thomas Valentine

Aspects of acquirer behaviour in Australian mergers and acquisitions

Nigel Garrow, Thomas Valentine

Western Sydney University

Research output: Chapter in Book / Conference Paper › Conference Paper › peer-review

Abstract

![CDATA[Mergers and acquisitions continue to be value destroying for many acquiring firm shareholders. The consequences of this value destruction can be far reaching for stakeholders such as pension funds. The assumption of a rational and efficient market does not explain some aspects of an acquirer’s offer. This paper examines acquisitions in Australia between 1990 and 2006.The behavioural characteristics of the acquirer such as animal spirits, hubris, and narcissism may provide an explanation for an acquirer’s offer, and hence M&A value destruction. Good corporate governance practice including greater transparency to stakeholders can help in addressing these behavioural factors.]]

Original language	English
Title of host publication	Proceedings of the 26th Annual Australian and New Zealand Academy of Management International conference (ANZAM 2012): Managing for Volatility and Stability: 5-7 December 2012, Perth, W.A.
Publisher	ANZAM
Number of pages	13
Publication status	Published - 2012
Event	Australian and New Zealand Academy of Management. International Conference - Duration: 5 Dec 2012 → …

Conference

Conference	Australian and New Zealand Academy of Management. International Conference
Period	5/12/12 → …

Keywords

consolidation and merger of corporations
animal spirits
corporate governance
stakeholders
Australia

Cite this

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title = "Aspects of acquirer behaviour in Australian mergers and acquisitions",

abstract = "![CDATA[Mergers and acquisitions continue to be value destroying for many acquiring firm shareholders. The consequences of this value destruction can be far reaching for stakeholders such as pension funds. The assumption of a rational and efficient market does not explain some aspects of an acquirer{\textquoteright}s offer. This paper examines acquisitions in Australia between 1990 and 2006.The behavioural characteristics of the acquirer such as animal spirits, hubris, and narcissism may provide an explanation for an acquirer{\textquoteright}s offer, and hence M&A value destruction. Good corporate governance practice including greater transparency to stakeholders can help in addressing these behavioural factors.]]",

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author = "Nigel Garrow and Thomas Valentine",

year = "2012",

language = "English",

booktitle = "Proceedings of the 26th Annual Australian and New Zealand Academy of Management International conference (ANZAM 2012): Managing for Volatility and Stability: 5-7 December 2012, Perth, W.A.",

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note = "Australian and New Zealand Academy of Management. International Conference ; Conference date: 05-12-2012",

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Garrow, N & Valentine, T 2012, Aspects of acquirer behaviour in Australian mergers and acquisitions. in Proceedings of the 26th Annual Australian and New Zealand Academy of Management International conference (ANZAM 2012): Managing for Volatility and Stability: 5-7 December 2012, Perth, W.A.. ANZAM, Australian and New Zealand Academy of Management. International Conference, 5/12/12.

Aspects of acquirer behaviour in Australian mergers and acquisitions. / Garrow, Nigel; Valentine, Thomas.
Proceedings of the 26th Annual Australian and New Zealand Academy of Management International conference (ANZAM 2012): Managing for Volatility and Stability: 5-7 December 2012, Perth, W.A.. ANZAM, 2012.

Research output: Chapter in Book / Conference Paper › Conference Paper › peer-review

TY - GEN

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AU - Valentine, Thomas

PY - 2012

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N2 - ![CDATA[Mergers and acquisitions continue to be value destroying for many acquiring firm shareholders. The consequences of this value destruction can be far reaching for stakeholders such as pension funds. The assumption of a rational and efficient market does not explain some aspects of an acquirer’s offer. This paper examines acquisitions in Australia between 1990 and 2006.The behavioural characteristics of the acquirer such as animal spirits, hubris, and narcissism may provide an explanation for an acquirer’s offer, and hence M&A value destruction. Good corporate governance practice including greater transparency to stakeholders can help in addressing these behavioural factors.]]

AB - ![CDATA[Mergers and acquisitions continue to be value destroying for many acquiring firm shareholders. The consequences of this value destruction can be far reaching for stakeholders such as pension funds. The assumption of a rational and efficient market does not explain some aspects of an acquirer’s offer. This paper examines acquisitions in Australia between 1990 and 2006.The behavioural characteristics of the acquirer such as animal spirits, hubris, and narcissism may provide an explanation for an acquirer’s offer, and hence M&A value destruction. Good corporate governance practice including greater transparency to stakeholders can help in addressing these behavioural factors.]]

KW - consolidation and merger of corporations

KW - animal spirits

KW - corporate governance

KW - stakeholders

KW - Australia

UR - http://handle.westernsydney.edu.au:8081/1959.7/uws:38711

UR - http://www.anzam.org/wp-content/uploads/pdf-manager/209_ANZAM-2012-019.PDF

M3 - Conference Paper

BT - Proceedings of the 26th Annual Australian and New Zealand Academy of Management International conference (ANZAM 2012): Managing for Volatility and Stability: 5-7 December 2012, Perth, W.A.

PB - ANZAM

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ER -

Aspects of acquirer behaviour in Australian mergers and acquisitions

Abstract

Conference

Keywords

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