Examining the influence of managerial ownership on M&A transactions by acquirers from the emerging markets Online publication date: Mon, 14-Mar-2022
by Emmanuel Okofo-Dartey; Lungile Ntsalaze
International Journal of Trade and Global Markets (IJTGM), Vol. 15, No. 2, 2022
Abstract: Emerging market firms have served mainly as targets rather than acquirers in mergers and acquisitions (M&As) transactions. However, this trend appears to be changing because some firms from the emerging markets are becoming more active in M&A deals as acquirers. Several factors except managerial ownership are highlighted in the literature as the driving forces of M&As by acquirers from the emerging markets. Therefore, this study investigates whether managerial ownership motivates these acquirers to undertake acquisitions, and influences them to pursue smaller-sized targets in their deals. Using the probit regression methodology and data of 160 listed acquirers from ten emerging markets sourced from the Bloomberg terminal from 2004 to 2013, the study reveals that managerial ownership of acquirers from the emerging markets does not influence them to undertake M&As and also become interested in smaller targets. However, the acquirers' debt levels are more likely to influence their M&A execution decisions.
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Trade and Global Markets (IJTGM):
Login with your Inderscience username and password:
Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.
If you still need assistance, please email subs@inderscience.com
Our Blog 
Follow us on Twitter 
Visit us on Facebook