Employing a panel sample of 61,532 cross-border mergers between 2000 and 2020, we investigate the impact of market misvaluation on corporate cross-border mergers and acquisitions (CBMAs). We find that firms with higher market misvaluation launch more CBMAs and tend to pay with their overvalued stock. However, the effect of market misvaluation on CBMAs will weaken over time. CBMAs driven by high market misvaluation result in lower short-term stock returns and better long-term profitability. Cross-sectional analyses show that the impact of market misvaluation on CBMAs can be mitigated by stronger country-level uncertainty avoidance and masculinism culture, while it is more pronounced in high individualism culture. At the firm level, the monitoring role of institutional investors and analysts can mitigate the impact of market misvaluation on CBMAs. Our results remain robust in various robustness tests and after addressing endogeneity concerns.

中文翻译：

---

市场估值错误是否会推动跨国并购？

我们采用 2000 年至 2020 年间 61,532 起跨境并购的面板样本，研究了市场误估对企业跨境并购 (CBMA) 的影响。我们发现，市场误估程度较高的公司会推出更多的 CBMA，并倾向于用其高估的股票来支付。然而，市场误估对 CBMA 的影响将随着时间的推移而减弱。由市场高度误估推动的 CBMA 会导致短期股票回报率降低和长期盈利能力提高。横断面分析表明，市场误估对 CBMA 的影响可以通过加强国家层面的不确定性规避和男性主义文化来减轻，而在高度个人主义文化中更为明显。在公司层面，机构投资者和分析师的监督作用可以减轻市场估值错误对 CBMA 的影响。在解决了内生性问题之后，我们的结果在各种稳健性测试中仍然保持稳健。