Using acquirer’s risk-factor disclosure in merger filings, we study the risks faced by acquirers in mergers and acquisitions and how these risks are associated with important merger outcomes. We first establish the validity of acquirer’s risk factor disclosure, and then employ an...

Crash risk has been a hot dispute since financial crisis (2008) and the Chinese stock market crash (2015). Many literature including features of managers have been discussed to connect them with crash risk. However, fewer literatures focus on the channel between innovation and crash risk. In...