Merged firms benefit more than merging firms in M&A deals.
The study looked at the effects of mergers and acquisitions (M&A) on both the companies being acquired and the ones doing the acquiring. They analyzed data from 1990 to 1997 when M&A activity was high in developed countries. By comparing different financial measures, they found that the acquired companies tended to benefit more from the M&A deals than the acquiring companies. This goes against what was found in studies from the 1980s.