Political Connections Ease the M&A Process

June 7, 2016 by Reza Houston

Firms that maintain political connections have an easier path through the merger process.

In a study that is the first to examine the issue, we compare the differences in merger behavior and outcomes for politically connected and non-connected acquirers. The study, “Friends in the Right Places: The Effect of Political Connections on Corporate Merger Activity,” is currently under review at a top academic journal.