Studying acquisitions in the US pharmaceutical industry, we first question how the alignment of acquirers’ innovation trajectories (as path-dependent or path-breaking change through the acquisition of targets with similar or distant innovations) with their own inventors’ pre-acquisition...

We demonstrate that business groups use financial intermediaries to boost the stock prices of affiliated firms in initial public offerings (IPO). Using a complete sample of all IPOs and all mutual funds in Israel during a four-year period, we find that the participation of mutual funds...