Performance in cross-border mergers and acquisitions: an empirical analysis of the Brazilian case

• Autor(a) principal: Bortoluzzo, Adriana Bruscato
• Data de Publicação: 2014
• Outros Autores: Garcia, Maria Pia de Siqueira, Boehe, Dirk Michael, Sheng, Hsia Hua
• Tipo de documento: Artigo
• Idioma: por; eng
• Título da fonte: Revista de Administração de Empresas
• Texto Completo: https://bibliotecadigital.fgv.br/ojs/index.php/rae/article/view/38689
• topic: Cross-border M&A; internationalization; financial performance; institutional theory; organizational learning; Fusiones y adquisiciones cross border; internacionalización; desempeño financiero; teoría institucional; aprendizaje organizacional; Fusões e aquisições cross border; internacionalização; desempenho financeiro; teoria institucional; aprendizagem organizacional

This study aims to investigate whether the cross-border acquisitions made by Brazilian companies over the past 15 years have improved their financial performance. Drawing on Institutional, Socio-cultural and Organizational Learning theories, this study develops and empirically tests several hypotheses on the determinants of M&A performance. The results demonstrate that the cross-border acquisitions of Brazilian companies improve their financial performance. Financial performance tends to be positive if the cultural distance between the countries of the acquiring and acquired companies is low to medium and if the institutional context in which the acquired company operates is developed. We also find that the relationship between the previous experience of acquiring companies in international M&As and the performance of a new cross-border operation follows an inverted U shape. These findings suggest that studies on international M&As should include the M&A experience of the acquiring firm as well as the institutional characteristics of its target countries.