Mergers and acquisitions have become an important method for corporate development and expansion. The key to the success of mergers and acquisitions is the price of the merger transaction.
Previous research has not explored the brand value of the acquirer, nor has it studied that the acquirer regards the acquirer’s high demand and high brand value, and offers high M&A transaction prices to increase the price of M&A transactions. There is no empirical study on the similarities and differences between acquirers and acquirers. Industry, due to the asymmetry of information between the two parties, interferes with the brand value of corporate M&A transactions.
Using 491,381 records in the SDC database from 2009 to 2018, comparing the brand value of the top 100 companies announced by Interbrand from 2008 to 2017, 666 valid data were obtained, and the multiple regression analysis model was used to analyze the merger and acquisition transaction price of the acquirer’s brand. The relationship? And the interference relationship between the acquirer’s brand value and the corporate M&A transaction price and the industry consistency of the acquirer and the acquired?
The result of this research is that the higher brand value of the acquirer, the higher the price of the M&A transaction, which can assist the company in thinking about reducing the resources invested in the management of brand value before the start of the M&A activity, and will pay a lower M&A transaction price. Let business operators have a basis to weigh the practical practices of investing in corporate mergers and acquisitions and operating brand value.
