University Researchers: M&As That Drive Efficiency Provide the Most Value

A study of mergers and acquisitions conducted by researchers at George Mason University and Iowa State University shows that companies get more value return from M&A deals that help drive efficiency, the Washington Business Journal reported Wednesday.

“What we heard over and over from executives and from financial institutions is buy an adjacent quantity, buy a capability you don’t have, buy a customer that you don’t have access to,” said Brett Josephson, an assistant professor of marketing at GMU’s Center for Government Contracting. “But we actually found the biggest bang for the buck was buying for efficiency, not buying for new access.”

Josephson said they studied more than 600 M&As and analyzed them against the movement of the companies’ share prices on and a day after a transaction’s announcement to determine which deals generated the most market return. They also interviewed federal contracting officials and corporate executives for the study.

You may also be interested in...

Cristal Rice VP-Readiness

PAE Names Cristal Rice as VP of Readiness, Sustainment; John Heller Quoted

PAE has appointed Cristal Rice as the vice president of its Readiness & Sustainment group. Rice is an aerospace industry executive with that has deep experience in team leadership and business development. “Cristal has a demonstrated track record for leading high-performing teams and standing up new business development organizations,” said PAE president and CEO, and 2020 Wash100 Award recipient, John Heller

Josh Schoeller CEO LexisNexis Health Care

LexisNexis Risk Solutions Names New Executives to Health Care Business; Josh Schoeller Quoted

LexisNexis Risk Solutions has appointed new executives to its Health Care Business leadership team. Dave Corbett will serve as head of Sales and Client Engagement and Jeff Diamond has been promoted to senior vice president of Commercial Operations. “[Corbett] brings tremendous experience in nurturing client relationships and leading high-performing sales teams that will help us deliver more value for our clients,” said Josh Schoeller, CEO of LexisNexis Risk Solutions' health care business.

Don Brown GM of Government Services Telesat

Don Brown: Telesat’s US Subsidiary to Help Lockheed, SDA Test Commercial-Gov’t Space Network Interoperability

A Telesat subsidiary will participate in a Lockheed Martin-led team that won a $187.5M contract from the Space Development Agency to provide 10 space vehicles with communication links to explore interoperability between commercial and government satellites.