MERGERS AND ACQUISITIONS: A SYNTHESIS OF THEORIES AND DIRECTIONS FOR FUTURE RESEARCHDownload This Article
Wissal Ben Letaifa
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
The purpose of this paper is to review a synthesis of theories and empirical studies dealing with the mergers and acquisitions in the recent decay in an attempt to provide directions for future research. The review focuses on four main streams including: first, the motives for mergers-acquisitions; which are the strategic profits, the overconfidence of managers and the desire to create a big empire resulting from merger. From second, corporate characteristics of firms that did merger or acquisition; third, the economic consequences of the operation of merger and acquisition and finally; fourth, the implication on the market with the impact of merger on the value of the firm. We think that this article can give another idea about the information disclosed by any company choosing to merge and can be analyzed by practitioners by giving them the theoretical background of the merger and acquisition problem.
Keywords: Merger, Acquisition, Literature Review, Synergy, Information-Asymmetry, Stock Returns
Date received: 25 September 2016
Date accepted: 21 January 2017
How to cite this paper: Ben Letaifa, W. (2017). Mergers and acquisitions:
A synthesis of theories and directions for future research. Risk governance & control: Financial markets & institutions, 7(1), 71-74. http://dx.doi.org/10.22495/rgcv7i1art9