Merger Mediocrity

While mergers and acquisition activity is wildly profitable for investment banks, earning them $13.1 billion in 23H1 fees, an influential 2011 Harvard Business Review article showed roughly 80% of merger and acquisitions failed to create buyer value. However, a recent study shows that since the global financial crisis of 2009/09, stock in $100+ million companies doing deals has, on average, beaten peers 53% of the time. Essentially, a coin toss!