TY  - JOUR
TI  - Stort-term Market Reaction on Cross-border Mergers and Acquisitions of Russian Mining and Metal Companies
T2  - HSE Economic Journal 
IS  - HSE Economic Journal 
KW  - mergers and acquisitions
KW  - cross-border deals
KW  - abnormal return
KW  - emerging markets
AB  - The article presents the results of the research regarding abnormal return in M&A domestic and cross-border deals completed by Russian mining and metal companies. Contrary to earlier studies that found positive abnormal return of international mergers and acquisitions, our research revealed that cross-border deals performed by Russian metallurgical companies show negative abnormal return. Financial multiples of cross-border transactions are higher than that of domestic deals, which points to overpayment of Russian acquirers when buying assets abroad. In addition market discourages deal targeting financially distressed companies, as well as acquisitions of targets from culturally distant countries. One interesting finding of the research is that the most active cross-border acquirer - Severstal JSC - more often purchases financially distressed targets and generally demonstrates lower cumulative abnormal return compared to other Russian mining and metal companies.
AU  - Elena Chirkova
AU  - Elena Chuvstvina
UR  - https://ej.hse.ru/en/2013-17-1/137483569.html
PY  - 2013
SP  - 166-187
VL  - 17