The Regional Dimension of Takeover Activity in the United Kingdom.

This paper seeks to identify and account for the regional incidence of external takeover in the United Kingdom during the years 1969, 1977, and 1985. The factors expected to influence interregional takeover flows are identified and a model specification based on the gravity principle is suggested. Results derived from Poisson estimation indicate that the share of U.K. firms headquartered in origin and destination regions, distance deterrence, the size of companies in origin regions and the dominating effect of South east England play a key role in the process. Copyright 1994 by Scottish Economic Society.