Value creation and corporate diversification: the case of Sears, Roebuck & Co.

• 成果类型: Article
• 署名作者: Gillan, SL; Kensinger, JW; Martin, JD
• 署名单位: Baylor University; U.S. Securities & Exchange Commission (SEC); University of North Texas System; University of North Texas Denton
• 刊物名称: JOURNAL OF FINANCIAL ECONOMICS
• ISSN/ISSBN: 0304-405X
• DOI: 10.1016/S0304-405X(99)00046-X
• 发表日期: 2000
• 页码: 103-137
• 关键词: mergers; Restructuring; PROXY CONTESTS; institutional activism

摘要

We provide clinical evidence of corporate restructuring at Sears, Roebuck & Co., beginning with the firm's 1981 diversification into financial services by acquiring Cold dwell, Banker & Co. and Dean Witter, Reynolds Inc. The initial purchases resulted in a wealth gain to shareholders of approximately $400 million. Anticipated synergies did not materialize, however, and Sears' retail performance deteriorated. Coincident with pressure from institutional investor activists in 1992, Sears announced the divestiture of financial services and a refocusing on retail operations. This led to a $1.113 billion gain for shareholders. Despite more than $1.5 billion in gains over the entire diversification/divestiture period, Sears' shareholders suffered a significant opportunity loss when compared with a portfolio of focused firms. (C) 2000 Elsevier Science S.A. All rights reserved. JEL classification: G32; G34.