 Inventor CEO and technology M&ANan Lin, Ao Li, Han Chen and Wenchuan Chen International Review of Economics & Finance, 2023, vol. 88, issue C, 683-697 Abstract: This study examines the effect of inventor CEO on firm's technology acquisition and finds robust evidence that CEOs with hands-on innovation experience are associated with more technology acquisition. We utilize plausibly exogenous CEO turnovers to address the causal effects of inventor CEOs on corporate financial strategy such as acquisition. The effect is more pronounced in firms which CEOs have stronger power or previous acquisition experience, firms with high ownership concentration or non-state-owned firms, firms in high-tech industry or with high product market competition. Our study further shows that inventor CEOs prefer cash payment in technology acquisition and achieve higher premiums. The acquirer's future innovation output has been significantly improved after acquisition. Overall, this study contributes to the emerging literature on executives's personal unique characteristics on corporate mergers and acquisitions. Keywords: Inventor CEOs; Technology M&A; CEOs turnover; Innovation performance (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:reveco:v:88:y:2023:i:c:p:683-697 DOI: 10.1016/j.iref.2023.06.032 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 |
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