Gilberto Loureiro

Jan 30, 2024 | onlinelibrary.wiley.com | Tanveer Hussain |Lawrence Kryzanowski |Gilberto Loureiro |Muhammad Sufyan

1 INTRODUCTION The reverse portability—from targets to bidders—stream of literature on the corporate governance gap between merging firms argues that targets can transfer their higher governance standards to bidders (Martynova & Renneboog, 2008; Starks & Wei, 2013).1 Martynova and Renneboog (2008) propose the “bootstrapping hypothesis” to underscore that bidders may adopt higher governance standards of targets.