Title: State-of-the-art and possible fields of application for the integrated support of merger and acquisition processes by means of artificial intelligence

Authors: Matthias Lederer; Elias Jakob; Peter Rathnow

Addresses: OTH Technical University of Applied Sciences Amberg-Weiden, Hetzenrichter Weg 15, D-92637, Weiden ' MHP Management and IT Consulting – A Porsche Company, Königsallee 49, D-71638, Ludwigsburg ' ISM International School of Management, Karlstraße 35, D-80333, Munich

Abstract: Artificial intelligence has the potential to fundamentally change many industries, including the finance industry. By now, there has been no radical evolution in the way Mergers and Acquisitions (M&A) processes are conducted for decades. The aim of this research is to analyse if and how artificial intelligence (AI) can be used to increase efficiency and effectiveness in M&A transactions. The work is based on the one hand on the respective literature on AI and on M&A and on the other hand on a survey of experts from the financial services industry. The results show that respondents see the greatest opportunities for AI in the M&A process in increasing efficiency and precision. Limitations of the application arise regarding data conformity, data protection and the technical reproducibility of emotional intelligence. Overall, this paper shows which realistic approaches exist for AI in the M&A process and how this technology can lead to an increase in effectiveness and efficiency.

Keywords: artificial intelligence; mergers and acquisitions; M&A process; due diligence.

DOI: 10.1504/IJDS.2022.124354

International Journal of Data Science, 2022 Vol.7 No.1, pp.22 - 43

Received: 29 Sep 2021
Accepted: 10 Dec 2021
Published online: 25 Jul 2022 *

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