The Role of Internal M&A Teams in Takeovers

Nihat Aktas*, Audra Boone, Alexander Witkowski, Guosong Xu, Burcin Yurtoglu

*Corresponding author for this work

Research output: Contribution to journalArticleAcademicpeer-review

7 Citations (Scopus)
1 Downloads (Pure)


This article provides insights into the inner workings of internal corporate M&A teams using survey evidence from sixty-five firms from Austria, Germany, and Switzerland. We find that internal teams create value, especially relative to external advisors, by directing transaction rationales, screening targets, and employing performance metrics to assess post-merger success. Teams emphasizing economic rationales as a merger motive are associated with higher returns than those teams more apt to consider behavioral motives. We consider several team characteristics and find that financial experience is the most persistent and significant attribute in explaining the outcomes across various deal stages. Another key result from our survey-based evidence is that latent M&A team factors explain ∼54% of the acquirer fixed effects in announcement return regressions.

Original languageEnglish
Pages (from-to)1047-1087
Number of pages41
JournalReview of Finance
Issue number4
Publication statusPublished - 5 Nov 2020

Bibliographical note

JEL: G14 - Information and Market Efficiency; Event Studies; Insider Trading: G34 - Mergers; Acquisitions; Restructuring; Corporate Governance

Publisher Copyright:
© 2020 The Author(s) 2020. Published by Oxford University Press on behalf of the European Finance Association. All rights reserved. For permissions, please email:


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