Acquisitions and Technology Value Revision

Seminar abstract

Acquisition announcements cause upward revisions in the market value of target firms’ technology peers, whether targets and their peers belong to the same industry or not. Firms having deeper technology overlaps with the targets experience more dramatic price revisions.

Consistent with the acquisition probability theory, a firm is more likely to be taken over if at least one of its technology peers has been acquired recently; and peers more vulnerable to acquisitions have greater upward price revisions.

The findings demonstrate that information diffusion along the technology links is essential for technology valuation.

How to join this seminar

This seminar is free to attend with no need to register in advance.

Join us online on Wednesday 26 January 2022 at 2pm.

We welcome you to share with your friends, colleagues and classmates.

Speaker bio

Professor Ning Gao is a senior lecturer (associate professor with tenure) in finance at the Alliance Manchester Business School, the University of Manchester. He is the deputy director of the Centre for the Analysis of Investment Risk (CAIR).

He received his Ph.D. from the Hong Kong University of Science and Technology (HKUST).

His research interests include corporate finance, environmental/social/governance (ESG) risks, sustainable finance, Mergers and Acquisitions, and information in the financial system.

His works appear in world-leading and internationally renowned journals;

• Management Science,
• Journal of Financial and Quantitative Analysis,
• Journal of Corporate Finance).

Ning is a member of European Financial Association (EFA), Financial Management Association (FMA), American Finance Association (AFA), and Western Finance Association (WFA).

He served on the programme review committees of EFA and FMA. He also served as a Principle Investor (PI) by the Economics and Social Research Council (ESRC).

He is a founder and organizer of the Annual Corporate Finance Conference led by four leading universities in the Russell Group. He also serves as a reviewer for over 20 international journals in finance. Ning has a broad teaching portfolio which includes Corporate Finance (Global MBA), Empirical Finance (UG), Financial Markets and Institutions (UG), Advanced Corporate Finance (Ph.D.), Mergers & Acquisitions Negotiations (Full-time MBA).