Corporate governance, international financial development, and cross-border mergers and acquisitions

Yafei Xing, Junwei Wang and Yitian Lu

International Review of Economics & Finance, 2025, vol. 103, issue C

Abstract: This study, based on a dataset of Chinese listed companies from 2003 to 2023, explores the impact of corporate governance, international financial development, and their interactions on enterprises' cross-border mergers and acquisitions (M&A). The findings indicate that corporate governance has a significant positive effect on cross-border M&A, with higher levels of corporate governance enhancing the frequency of such transactions. International financial development facilitates cross-border M&A, particularly in regions with more developed financial markets, where enterprises have greater opportunities to obtain financing and pursue acquisitions. There is a significant interaction between corporate governance and international financial development; effective corporate governance can effectively promote cross-border M&A in environments with favorable international financial development. Heterogeneity analysis reveals that firms in technology-intensive industries can significantly improve performance under good corporate governance and financial support, whereas the impact is relatively smaller in non-technology-intensive industries.

Keywords: Corporate governance; International financial development; Corporate cross-border mergers and acquisitions (search for similar items in EconPapers)
Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S1059056025006203
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:reveco:v:103:y:2025:i:c:s1059056025006203

DOI: 10.1016/j.iref.2025.104457

Access Statistics for this article

International Review of Economics & Finance is currently edited by H. Beladi and C. Chen

More articles in International Review of Economics & Finance from Elsevier
Bibliographic data for series maintained by Catherine Liu ().