We explore whether acquiring CEOs and directors act consistently with the idea that their newly announced acquisitions will increase long-term firm value. Specifically, we examine postannouncement adjustments to CEOs' equity-based holdings and find acquiring CEOs tend to exercise options and...

In this chapter, we review recent work examining the influence individual executive characteristics exhibit on acquisition behavior, often in service of their private interests. In doing so, we outline the findings of this limited research, explore possible alternative explanations and factors,...