Suye Wang

ORCID Identifier(s)

0000-0002-3234-3767

Graduation Semester and Year

2021

Language

English

Document Type

Dissertation

Degree Name

Doctor of Philosophy in Accounting

Department

Accounting

First Advisor

Stephanie Rasmussen

Abstract

The role of a firm’s in-house top legal executives has become more prominent in recent years due to regulatory changes, increasing litigation, and growing risk and liability in the corporate world. Top legal executives act as trusted advisers to top management and board of directors in strategic decision-making. In this dissertation, I develop a measure of top legal executive influence in the acquiring firm and examine whether the top legal executive’s influence is associated with mergers and acquisitions (M&A) process and outcomes. I find that top legal executive influence is associated with shorter public process length (deal announcement to deal closing) and enhanced deal completion rate. These associations exist after controlling for potential endogeneity. The findings suggest that top legal executives create value for acquirers in their role as deal advisers. However, I find no associations between top legal executive influence and the private process length or the contract terms (acquisition premium, termination fee provisions). These non-results may derive from the tension of top legal executives balancing their various roles as gatekeepers, executives, and transaction lawyers.

Keywords

Legal executives, Mergers and acquisitions, M&A

Disciplines

Accounting | Business

Comments

Degree granted by The University of Texas at Arlington

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Accounting Commons

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