TY  - JOUR
U1  - Zeitschriftenartikel, wissenschaftlich - begutachtet (reviewed)
A1  - Hammer, Benjamin
A1  - Janssen, Nils
A1  - Schwetzler, Bernhard
T1  - Cross‑border buyout pricing
JF  - Journal of Business Economics
N2  - Using a dataset of 1149 global private equity transactions, we fnd that cross-border
buyouts are associated with signifcantly higher valuation multiples than domestic
ones. We attribute this fnding to informational disadvantages of foreign acquirers.
Consistent with this idea, we fnd that the spread in valuation multiples narrows
when the target operates in a country with high accounting standards, when it was
publicly listed prior to the buyout, and when information production is facilitated
due to large frm size. Further results suggest that local partnering in a syndicate
serves as an efective remedy to avoid adverse pricing efects. The spread in valuation multiples is also less pronounced for large buyout funds, presumably because
they draw on sufcient organizational resources to cope with cross-border-related
transaction costs.
KW  - Private equity
KW  - Leveraged buyout
KW  - Cross-border
KW  - Liability of foreignness
KW  - Valuation
Y1  - 2021
SN  - 0044-2372
SS  - 0044-2372
U6  - https://doi.org/10.1007/s11573-020-01021-w
DO  - https://doi.org/10.1007/s11573-020-01021-w
VL  - 91
SP  - 705
EP  - 731
ER  -