Value Creation by M&A Transactions in the European Insurance Market

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Dirk Schiereck
Dirk Schiereck
2
Dr. Andreas A. Schertzinger
Dr. Andreas A. Schertzinger
1 Darmstadt University of Technology

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The European insurance sector went through a radical transformation in the 1990s. Harmonization of EU regulation lead to a strong increase in M&A, and several factors indicate a new wave of transactions. We analyze the influence of transaction timing, geographical and industry strategy, and experience on short- and long-term value creation by M&A of European insurers. Transactions in the bottom of the M&A cycle, fully focusing or diversifying transactions, and transactions by inexperienced and most experienced acquirers created more long-term value. These findings are mostly contrary to short-term capital market reactions and results of previous research on the U.S. market.

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No external funding was declared for this work.

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The authors declare no conflict of interest.

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Dirk Schiereck. 1970. \u201cValue Creation by M&A Transactions in the European Insurance Market\u201d. Unknown Journal GJMBR Volume 11 (GJMBR Volume 11 Issue 11): .

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GJMBR Volume 11 Issue 11
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The European insurance sector went through a radical transformation in the 1990s. Harmonization of EU regulation lead to a strong increase in M&A, and several factors indicate a new wave of transactions. We analyze the influence of transaction timing, geographical and industry strategy, and experience on short- and long-term value creation by M&A of European insurers. Transactions in the bottom of the M&A cycle, fully focusing or diversifying transactions, and transactions by inexperienced and most experienced acquirers created more long-term value. These findings are mostly contrary to short-term capital market reactions and results of previous research on the U.S. market.

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Value Creation by M&A Transactions in the European Insurance Market

Dr. Andreas A. Schertzinger
Dr. Andreas A. Schertzinger
Dirk Schiereck
Dirk Schiereck Darmstadt University of Technology

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