e-space
Manchester Metropolitan University's Research Repository

Do minority acquisitions transfer better corporate governance practices? an analysis of UK's cross-border minority investments.

Polovina, Nereida and Peasnell, Ken (2020) Do minority acquisitions transfer better corporate governance practices? an analysis of UK's cross-border minority investments. British Accounting Review, 52 (3). ISSN 0890-8389

[img]
Preview
Accepted Version
Download (910kB) | Preview

Abstract

This study examines the influence of minority shareholders on the transfer of corporate governance practices into companies in other countries where they invest. By analysing UK firms that acquired a minority ownership in foreign firms between 1993-2014, we find evidence of better corporate governance in the board structure of target foreign firms following UK firms taking a minority shareholding, the extent and nature of the changes varying depending on the quality of investor protection in the country the foreign target firm is located. Our findings contribute to the on-going debates on the spillover effect of better corporate governance practices via cross-border mergers and acquisitions as well as relationship between internal (board of directors) and external (country’s quality of investor protection) corporate governance mechanisms.

Impact and Reach

Statistics

Activity Overview
6 month trend
44Downloads
6 month trend
177Hits

Additional statistics for this dataset are available via IRStats2.

Altmetric

Actions (login required)

View Item View Item