Abstract
ABSTRACT Speed is a key driver for the success of acquisitions. Although state ownership is widely believed to affect the management efficiency and action speed of firms, the relationship between state ownership and acquisition speed remains unknown. This paper investigates how firms’ acquisition speed varies with state ownership. Our results suggest that state ownership is associated with slower acquisition speed. Higher administrative hierarchy of the state-owned shareholder is correlation with slower acquisition speed. Reducing the shareholding ratio of state owner and hiring a younger CEO are likely to mitigate the negative correlation between state ownership and acquisition speed.
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