Mergers and Acquisitions: Do They Create or Destroy Value?

Mergers and acquisitions (M&A) are perhaps the most important decisions that a company ever faces, yet very many deals destroy substantial value. This talk will discuss the correct and incorrect motives for M&A, using both examples and large-scale evidence. It will discuss the conflicts of interest that may lead investment banks to persuade clients to do value-destroying deals, and ways to motivate these conflicts. It will also critically analyse policy proposals to reform M&A, e.g. a national interest test.A lecture by Alex Edmans, Gresham Professor of Business 5 June 2019The transcript and downloadable versions of the lecture are available from the Gresham College website: https://www.gresham.ac.uk/lectures-and-events/mergers-acquisitions-valueGresham College has been giving free public lectures since 1597. This tradition continues today with all of our five or so public lectures a week being made available for free download from our website. There are currently over 2,000 lectures free to access or download from the website.Website: http://www.gresham.ac.uk Twitter: http://twitter.com/GreshamCollege Facebook: https://www.facebook.com/greshamcollege Instagram: http://www.instagram.com/greshamcollege Support the show