We investigate the role of top executives, specifically CEOs who are also blockholders in their companies, in completing a merger deal. We conduct a logit analysis that examines the effect of three different factors on the outcome of a proposed deal. These factors include the attributes of the target firm's executive(s), the attributes of the deal, and specific attributes of the target company. The results reveal that if the CEO is also a blockholder, he/she is more likely to complete the merger or acquisition deal. Conversely, the target company's volatility is negatively related with the successful completion of a deal.
|Original language||English (US)|
|Number of pages||14|
|Journal||Banking and Finance Review|
|Publication status||Published - Dec 1 2011|
All Science Journal Classification (ASJC) codes
- Economics and Econometrics