When AI Acquires Data: Strategic Complementarities in M&A
Prof. Vidhan Krishan GOYAL
Chair Professor of Finance
HKUST Business School
The Hong Kong University of Science and Technology
Date: 10 November 2025 (Monday)
Time: 10:00-11:30
Venue: E22-G010
Host: Prof. Lewis TAM, Associate Professor in Finance
Abstract
We examine how firms’ artificial intelligence (AI) capabilities influence their mergers and acquisitions (M&A) decisions, using employees’ job skills to measure AI strength. Firms with stronger AI capabilities are more likely to acquire data-rich targets and hire data analytics specialists, reflecting a strategic complementarity between AI expertise and data assets. Despite paying higher acquisition premiums, these AI-intensive ac- quirers achieve superior M&A performance, especially when acquiring data-intensive targets. Such mergers lead to an increase in AI-related patents, indicating greater in- novation. Our findings highlight the combined power of AI and data as a key driver of M&A value and a force reshaping firm boundaries.
Speaker
Prof. Vidhan GOYAL is currently Chair Professor of Finance at the School of Business and Management, The Hong Kong University of Science and Technology. Prof. GOYAL is an internationally known expert in the area of empirical corporate finance. He has published numerous articles in the area of corporate finance in leading finance journals such as Journal of Finance, Journal of Financial Economics, Review of Finance, Journal of Financial and Quantitative Analysis, Journal of Business, and Journal of Financial Intermediation. He has received numerous research awards in conferences and journals including the prestigious Jensen Prize for Best Paper in Corporate Finance in the Journal of Financial Economics. Prof. GOYAL received the Citations of Excellence Award in 2013 given to the 50 most outstanding articles published by the top 300 management journals in the world.
All are welcome!
