The Effects of Prudential Regulation on Corporate Acquisitions: The Insurance Industry Case
研究了2016年欧洲偿付能力II指令对保险业收购活动的影响，发现该指令增加了合规成本，促使中小型保险公司成为收购目标，提高了市场集中度。
ABSTRACT This paper investigates the effects of prudential regulation on the takeover market, focusing on the 2016 European Solvency II directive. This directive introduced costly requirements in the form of advanced accounting, risk management, and governance standards for insurance companies. We document an increase in insurer‐targeted acquisition activity following the implementation of the directive. Consistent with the idea that heightened compliance costs incentivize insurers to expand their size, we also observe a higher likelihood of midsized and small insurers becoming acquisition targets. Overall, our analyses indicate that costly prudential regulatory requirements affect market concentration by increasing takeover activity in regulated industries.