Green M&A: a Systematic Literature Review

In the context of increasing global pressure to address climate change and pursue sustainable development, Green Mergers and Acquisitions (M&A) have emerged as a strategic tool for firms to integrate environmental considerations into their business practices. This thesis conducts a Systematic Literature Review (SLR) to analyze the current state of research on Green M&A, focusing on the key factors driving their success and the challenges they face across various industries. The review finds that regulatory pressures, corporate governance, and investor demand for sustainability are significant drivers of Green M&A activity. Firms often use M&A as a mechanism to acquire green technologies and align with stringent environmental regulations, especially in high-emission sectors such as energy and manufacturing. However, the integration of sustainability goals post-merger presents challenges, particularly when it comes to maintaining long-term environmental benefits and addressing corporate cultural differences. This study contributes to the existing body of knowledge by synthesizing research on the intersection of corporate acquisitions and environmental sustainability. It highlights the need for more longitudinal studies to assess the lasting impact of Green M&A, as well as further investigation into the role of governance structures and regional market dynamics. The findings of this thesis suggest that Green M&A can serve as a powerful lever for advancing corporate environmental goals, but success depends on effective post-merger integration and alignment with regulatory frameworks.