Earnings signals in fixed-price and Dutch auction self-tender offers

• 成果类型: Article
• 署名作者: Lie, E; McConnell, JJ
• 署名单位: William & Mary; Purdue University System; Purdue University
• 刊物名称: JOURNAL OF FINANCIAL ECONOMICS
• ISSN/ISSBN: 0304-405X
• DOI: 10.1016/S0304-405X(98)00021-X
• 发表日期: 1998
• 页码: 161-186
• 关键词: Stock repurchases; signaling; self-tender offers; EARNINGS FORECASTS

摘要

Studies by Vermaelen (1981) and others indicate that the positive excess stock returns around self-tender offer announcements are the result of a signal of future earnings improvements. Comment and Jarrell (1991), Lee, Mikkelson and Partch (1992) and Persons (1994) argue that the signal in fixed-price self-tender offers should be stronger than the signal in Dutch auction self-tender offers. This study tests whether the earnings improvement following fixed-price self-tender offers is greater than that following Dutch auction self-tender offers. We find some evidence that earnings improve following both types of self-tender offers. However, we find no difference in earnings improvement between the two types of offers. (C) 1998 Elsevier Science S.A. All rights reserved.