We provide evidence of negative information spillovers associated with delistings from mergers and acquisitions (M&A delistings), a key factor in the long-term decline in the number of publicly listed firms in the U.S. Specifically, we show that M&A delistings are associated with a decrease in the quality of analysts’ information environment (increased absolute forecast errors and dispersion) for targets’ industry peer firms; these results are stronger when targets are larger, and for public targets than for private targets. Additional tests, including a falsification test using non-completed M&As, suggest that our results are robust to endogeneity concerns arising from industry-level shocks
