The Long-Term Performance of Conglomerate and Non-Conglomerate Acquirers

混合性及非混合性主併公司之長期績效

10.6545/JFS.2009.17(2).6

徐俊明(Jun-Ming Hsu)；胡慈容(Tzu-Jung Hu)；楊維如(Wei-Ju Young)

混合性購併 ； 多角化 ； 付款方式 ； 傲慢 ； Conglomerate mergers and acquisitions ； Diversification ； Hubris ； Means of payments

財務金融學刊

17卷2期（2009 / 06 / 30）

163 - 196

英文

本文調查392個美國案例在從事合併與收購之後的長期績效，樣本條、以主併及目標公司產業代碼（SIC codes）的前兩碼區分為混合性（Conglomerate）與非混合性（Non-conglomerate）購併；利用Berger and Ofek（1995）及Lamont and Polk（2002）所使用績效加以計算，發現從事混合性購併企業的績效有變差之傾向，從事非混合性購併企業的績效則大致保持原有水準，這些結果與多角化減損公司價值的論點一致。本文亦發現，混合性與非混合性主併公司的績效受不同構併特性影響，混合性主併公司的績效不住可用管理者的“傲慢（Hubris）”解釋；另一方面，非混合性主併公司若以現金支付購併費用，長期表現較佳，但若購併高益本比之目標公司，則長期績效不佳。

This study investigates the long-run performance of 392 US cases of mergers and acquisitions (M&As). We define a conglomerate (non-conglomerate) M&A when the acquirer and target have different (the same) 2-digit SIC codes. Using Berger and Ofek's (1995) and Lamont and Polk's (2002) measures, we find that conglomerate acquirers are prone to underperform after M&As while non-conglomerate acquirers perform about the same as they did . These results are consistent with the argument that diversification mitigates the firm value. We also find that conglomerate and non-conglomerate acquirers' performance are associated with different M&A characteristics. Conglomerate acquirers' underperformance can be explained by managers' ＂hubris.＂ On the other hand, non-conglomerate acquirers who paid cash tend to perform well after M&As, while those who buy high earnings-yield targets tend to perform poorly.

1. Agrawal, Anup,Jeffery F. Jaffe,Gershon N. Mandelker(1992).The post-merger performance of acquiring firms: A reexamination of an anomaly.Journal of Finance,47,1605-1621.
2. Amihud, Yakov,Baruch Lev(1981).Risk reduction as a managerial motive for conglomerate mergers.Bell Journal of Economics,12,605-617.
3. Andre, Paul,Mather Kooli,Jean-Francois L''Her(2004).The long-run performance of mergers and acquisitions: Evidence from the Canadian stock market.Financial Management,33,27-43.
4. Anslinger, Patricia L.,Thomas E. Copeland(1996).Growth through acquisitions: A fresh look.Harvard Business Review,74,126-135.
5. Asquith, Paul,Robert Bruner,David W. Mullins(1983).The gains to bidding firms from merger.Journal of Financial Economics,11,121-140.
6. Baker, George P.(1992).Beatrice: A study in the creation and destruction of value.Journal of Finance,47,1081-1119.
7. Berger, Philip G.,Eli Ofek(1995).Diversification's effect on firm value.Journal of Financial Economics,37,39-65.
8. Bolton, P.,David Scharfstein(1990).A theory of predation based on agency problems in financial contracting.American Economic Review,80,94-106.
9. Brealey, Richard A.,Stewart C. Myers(2000).Principles of Corporate Finance.New York:McGraw-Hill.
10. Campa, Jose M.,Simi Kedia(2002).Explaining the diversification discount.Journal of Finance,57,1731-1762.
11. Chevalier, Judith A.(2000).What do we know about cross-subsidization? Evidence from the investment policies of merging firms.NBER Working paper.
12. Comment, Robert,Gregg A. Jarrell(1995).Corporate focus and stock returns.Journal of Financial Economics,37,67-87.
13. Denis, J. David,Diane K. Denis,Atulya Sarin(1997).Agency problems, equity ownership, and corporate diversification.Journal of Finance,52,135-160.
14. Fan, Joseph P. H.,Larry H. P. Lang(2000).The measurement of relatedness: An application to corporate diversification.Journal of Business,73,629-660.
15. Fan, Joseph P.H.,Vidhan Goyal(2006).On the patterns and wealth effects of vertical mergers.Journal of Business,79,877-902.
16. Fluck, Zsusanna,Anthony Lynch(1999).Why do firms merge and then divest? A theory of financial synergies.Journal of Business,72,319-346.
17. Franks, Julian R.,Robert S. Harris,Sheirdan Titman(1991).The postmerger share-price performance of acquiring firms.Journal of Financial Economics,29,81-96.
18. Ghosh, Aloke(2001).Does operating performance really improve following corporate acquisitions?.Journal of Corporate Finance,7,151-178.
19. Graham, John R.,Michael L. Lemmon,Jack Wolf(2002).Does corporate diversification destroy value?.Journal of Finance,57,695-720.
20. Hansen, Robert G.(1987).A theory for the choice of exchange medium in mergers and acquisitions.Journal of Business,60,75-95.
21. Healy, Paul M.,Krishna G. Palepu,Richard S. Ruback(1992).Does corporate performance improve after mergers?.Journal of Financial Economics,31,135-175.
22. Hubbard, R. Glenn,Darius Palia(1999).A reexamination of the conglomerate merger wave in the 1960s: An internal capital market view.Journal of Finance,54,1131-1152.
23. Hyland, David C.,J. David Diltz(2002).Why firms diversify: An empirical examination.Financial Management,31,51-81.
24. Jensen, C. Michael(1986).Agency costs of free cash flow, corporate finance, and takeovers.American Economic Review,76,323-329.
25. Khanna, Tarun,Krishna Palepu(2000).Is group affiliation profitable in emerging markets? An analysis of diversified Indian business groups.Journal of Finance,55,867-891.
26. Lakonishok, Josef,Andrei Shleifer,Robert W. Vishny(1994).Contrarian investment, extrapolation, and risk.Journal of Finance,49,1541-1578.
27. Lamont, Owen A.,Christopher Polk(2002).Does diversification destroy value? Evidence from the industry shocks.Journal of Financial Economics,63,51-77.
28. Lang, Larry,Rene M. Stulz(1994).Tobin's Q, corporate diversification, and firm performance.Journal of Political Economy,102,1248-1280.
29. Langetieg, Terence C.(1978).An application of a thee-factor performance index to measure stockholder gains form merger.Journal of Financial Economics,6,365-384.
30. Loderer, Claudio F.,Kenneth J. Martin(1992).Post-acquisition performance of acquiring firms.Financial Management,21,69-79.
31. Loughran, Tim,Anand M. Vijh(1997).Do long-term shareholders benefit from corporate acquisitions?.Journal of Finance,52,1765-1790.
32. Maksimovic, Vojislav,Gordon Phillips(2002).Do conglomerate firms allocate resources inefficiently across industries?.Journal of Finance,57,721-767.
33. Maquieira, Carloa P.,William L. Megginson,Lance A. Nail(1998).Wealth creation versus wealth redistributions in pure stock-for-stock mergers.Journal of Financial Economics,48,3-33.
34. Martin, John D.,Akin Sayrak(2003).Corporate diversification and shareholder value: A survey of recent literature.Journal of Corporate Finance,9,37-57.
35. Matsusaka, John(1993).Takeover motives during the conglomerate merger wave.Rand Journal of Economics,24,359-379.
36. Matsusaka, John(2001).Corporate diversification, value maximization, and organizational capabilities.Journal of Business,74,409-431.
37. Working Paper
38. Mitchell, Mark L.,Erik Stafford(2000).Corporate managerial decisions and long-term stock price performance.Journal of Business,73,287-329.
39. Morck, Randall,Andrei Shleifer,Robert M. Vishny(1990).Do managerial objectives drive bad acquisitions?.Journal of Finance,45,31-48.
40. Rajan, Raghuram G.,Henri Servaes,Luigi Zingales(2000).The cost of diversity: The diversification discount and inefficient investment.Journal of Finance,55,35-80.
41. Rau, P. Raghavendra,Theo Vermaelen(1998).Glamour, value and the post-acquisition performance of acquiring firms.Journal of Financial Economics,49,223-253.
42. Roll, Richard(1986).The hubris hypothesis of corporate takeover.Journal of Business,59,197-216.
43. Scharfstein, David,Jeremy Stein(2000).The dark side of internal capital markets: Divisional rent-seeking and inefficient investment.Journal of Finance,55,2537-2564.
44. Servaes, Henri(1996).The value of diversification during the conglomerate merger wave.Journal of Finance,51,1201-1225.
45. Shleifer, Andrei,Robert M. Vishny(1989).Management enchrenchment: The case of manager-specific investments.Journal of Financial Economics,25,123-239.
46. Shleifer, Andrei,Robert M. Vishny(2003).Stock market driven acquisition.Journal of Financial Economics,70,295-311.
47. White, Halbert(1980).A heteroskedasticity-consistent covariance matrix estimator and a direct test for heteroskedasticity.Econometrica,48,817-838.
48. Whited, Toni M.(2001).Is it inefficient investment that causes the diversification discount?.Journal of Finance,56,1667-1691.