IDEAS home Printed from https://ideas.repec.org/a/bla/corgov/v6y1998i2p92-100.html
   My bibliography  Save this article

The impact of board composition and ownership on the nature and outcome of UK takeovers

Author

Listed:
  • Noel O’Sullivan
  • Pauline Wong

Abstract

The purpose of this paper is to provide an insight on the relationship between internal governance and the nature and outcome of UK takeovers. The paper examines the impact of board composition and leadership, managerial ownership and external shareholder control on management’s attitude and eventual outcome of 331 takeover bids. We find the likelihood of a hostile reaction negatively related to the degree of managerial share ownership and positively related to target size. The likelihood of takeover success is positively related to managerial ownership. Consistent with recent research in the US, our study confirms the important role of managerial ownership in the UK takeover process.

Suggested Citation

  • Noel O’Sullivan & Pauline Wong, 1998. "The impact of board composition and ownership on the nature and outcome of UK takeovers," Corporate Governance: An International Review, Wiley Blackwell, vol. 6(2), pages 92-100, April.
    • Handle: RePEc:bla:corgov:v:6:y:1998:i:2:p:92-100
    DOI: 10.1111/1467-8683.00088
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/1467-8683.00088
    Download Restriction: no
    File URL: https://libkey.io/10.1111/1467-8683.00088?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Chenxi Zhou & Jinhong Xie & Qi Wang, 2016. "Failure to Complete Cross-Border M&As: “To” vs. “From” Emerging Markets," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 47(9), pages 1077-1105, December.
    2. Zhang, Jianhong & Zhou, Chaohong & Ebbers, Haico, 2011. "Completion of Chinese overseas acquisitions: Institutional perspectives and evidence," International Business Review, Elsevier, vol. 20(2), pages 226-238, April.
    3. Chistopher Day & Martin Bugeja & Helen Spiropoulos & Zoltan Matolcsy, 2023. "Non‐executive directorship importance and takeover hostility: Australian evidence," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 63(1), pages 769-793, March.
    4. Hyejun Kim & Jaeyong Song, 2017. "Filling institutional voids in emerging economies: The impact of capital market development and business groups on M&A deal abandonment," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 48(3), pages 308-323, April.
    5. Myznikava, Katsiaryna (Katherine) & Farinha, Jorge, 2023. "The impact of political freedoms on cross-border M&A abandonment likelihood," The Quarterly Review of Economics and Finance, Elsevier, vol. 91(C), pages 112-138.
    6. Henry, Darren, 2004. "Corporate governance and ownership structure of target companies and the outcome of takeovers," Pacific-Basin Finance Journal, Elsevier, vol. 12(4), pages 419-444, September.
    7. Iqbal, Zahid & French, Dan W., 2007. "Executive share ownership, trading behavior, and corporate control: Evidence from top management turnover during financial distress," Journal of Economics and Business, Elsevier, vol. 59(4), pages 298-312.
    8. He, Xinming & Zhang, Jianhong, 2018. "Emerging market MNCs' cross-border acquisition completion: Institutional image and strategies," Journal of Business Research, Elsevier, vol. 93(C), pages 139-150.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:corgov:v:6:y:1998:i:2:p:92-100. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=0964-8410&site=1 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.