Project Publications
| Book 1 | Book 2 | Book 3 | Book 4 | Book 5 | Book 6 | conference articles in journals |
Nowiński, W. (2014). Shareholder Value Effects of Cross-Border Acquisitions Conducted by Poland’s Asseco Group (chapter 8) In: D. Kiendl-Wendner & K. Wach K. (Eds.), International Competitiveness in Visegrad Countries: Macrto and Micro Perspective. Graz: Fachhochschule Joanneym (ISBN: 978-3-200-03673-4).
Full text: pdf (free download)
Abstract
The purpose of the paper was to investigate the impact of cross-border acquisitions on shareholder value, to verify the impact of prior foreign presence for acquisition performance and to compare results of acquisitions into Eastern and Western European markets. Event method was applied for a sample of multiple acquisitions conducted by a single acquirer. While we find that cross-border acquisitions in the studied sample tend to destroy value, these findings are not statistically significant. We find a weak tendency for transactions constituting the first entry into the market to have slightly better outcome for shareholders than transactions constituting subsequent entries, which confirms market access hypothesis. While on average cross-border acquisitions do not create value for Asseco Group, their impact on shareholder value seems to be less adverse than in case of domestic acquisitions. Our findings suggest that Asseco, and perhaps other similar Polish companies, could use acquisitions to enter a foreign market, but subsequently grow in this market organically. The paper constitutes a first approach to study an underexplored topic of outbound cross-border acquisitions from Poland.
Keywords: M&A, cross-border acquisitions, shareholder value, internationalization, performance
JEL classification: M16, G14, L25, L86, F23, G34
References
Aggarwal, R., Berrill, J., Hutson, E., & Kearney, C. (2011). What is a multinational corporation? Classifying the degree of firm-level Multinationality. International Business Review, 20(5), 557–577.
Aybar, B., & Ficici, A. (2009). Cross-border acquisitions and firm value: An analysis of emerging market multinationals. Journal of International Business Studies, 40(8), 1317–1338.
Bąkowska, K. (2013). Asseco Poland – przykład polskiej firmy rozwijającej się przez akwizycje krajowe i zagraniczne. In L. Pałys & H. Kępka (Eds), Polskie inwestycje za granicą 2010-2012 (pp.102-105), Warszawa: Instytut Badań Rynku, Konsumpcji i Koniunktur.
Bertrand, O., & Betschinger, M-A. (2012). Performance of domestic and cross-border acquisitions: Empirical evidence from Russian acquirers. Journal of Comparative Economics, 40(3), 413–437.
Chernykh, L., Liebenberg, I.A., & Macias, A.J. (2011). Changing Direction: Cross Border Acquisitions by Emerging Market Firms, (October 4, 2011). Retrieved March 19, 2014, from http://dx.doi.org/10.2139/ssrn.1540260.
Danbolt, J. (2004). Target company cross-border effects in acquisitions into the UK. European Financial Management, 10(1), 83-108.
Danbolt, J., & Maciver, G. (2012). Cross-Border versus Domestic acquisitions and the Impact on Shareholder Wealth. Journal of Business Finance & Accounting, 39(7 & 8), 1028–1067.
Dolistowska, D., Asseco szturmuje rynki wschodnie. Retrieved February 13, (2014), from http://www.polandgoglobal.pl/artykuly/asseco-szturmuje-rynki-wschodnie-1#.Uvz14FKgYQ4.
Griffith, DA., Cavusgil, ST., & Xu, S. (2008). Emerging themes in international business Research. Journal of International Business Studies, 39(7), 1220–1235.
Gubbi, S.R., Aulakh, P.S., Ray, S., Sarkar, M.B., & Chittoor, R. (2010). Do international acquisitions by emerging-economy firms create shareholder value? The case of Indian firms. Journal of International Business Studies, 41(3), 397–418.
Johanson, J., & Vahlne, J.E. (1977). The Internationalization Process of the Firm: A Model of Knowledge Development and Increasing Foreign Market Commitments. Journal of International Business Studies, 8, 23–32.
Kaszuba, K. (2010). Rozwój Asseco Poland S.A. jako przykład tworzenia międzynarodowej grupy kapitałowej. Studia i Prace Kolegium Zarządzania i Finansów, Szkoła Główna Handlowa, 101, 108-116.
King, D.R., Dalton, D.R., Daily, M., & Covin, J.G. (2004). Meta-analyses of post-acquisition performance: Indications of unidentified moderators. Strategic Management Journal, 25(2), 187–200.
Klimek, A. (2011). Emergence of Multinational Firms from Middle Income Countries: The Case of Poland. Argumenta Oeconomica, 26(1), 91- 110.
Mathews, J.A. (2006). Dragon multinationals: New players in 21st century globalization. Asia Pacific Journal of Management, 23(1), 5–27.
Moeller, S., Schlingemann, F.P., & Stulz, R.M. (2005). Wealth Destruction on a Massive Scale? A Study of Acquiring-Firm Returns in the Recent Merger Wave. The Journal of Finance, 60(2), 757-782.
Nicholson, R.R., & Salaber, J. (2013). The motives and performance of cross-border acquirers from emerging economies: Comparison between Chinese and Indian firms. International Business Review, 22(6), 963–980.
PriceWaterhouseCoopers (2013). Znamy już zwycięzców konkursu “Polska Firma – Międzynarodowy Czempion 2013”, Retrieved February 13, 2014, from http://www.pwc.pl/pl/biuro-prasowe/2013-12-06-zwyciezcy-polska-firma-miedzynarodowy-czempion-2013.jhtml.
Rudke, M. (2013). Polskie firmy coraz śmielej poczynają sobie na światowym rynku. Rzeczpospolita, Retrieved February 13, 2014, from http://www.ekonomia.rp.pl/artykul/1072869.html?p=1.
Czech Republic
Hungary
Poland
Slovakia
Contact:
Dr hab. Krzysztof Wach
Cracow University of Economics
wachk@uek.krakow.pl
www.wach.uek.krakow.pl
