The effects of engaging financial advisers in mergers and acquisitions (M&As)

This study attempts to investigate the significance of financial advisers in M&As. Specifically the complexity of the deals and the performance of advisers are examined. The results show that the third tier advisers were more likely to complete the deals compared to the first and the second tier advisers. In term of speed of completion, both the first and the second tier advisers did not outperform the third tier advisers. It is also found that different tiers of financial advisers were not significant in determining the wealth effect.