Takeovers of privately held targets, methods of payment, and bidder returns

• 成果类型: Article
• 署名作者: Chang, SY
• 署名单位: University of Hawaii System
• 刊物名称: JOURNAL OF FINANCE
• ISSN/ISSBN: 0022-1082
• DOI: 10.1111/0022-1082.315138
• 发表日期: 1998
• 页码: 773-784
• 关键词: EMPIRICAL-ANALYSIS; corporate-control; BIDDING FIRMS; stock returns; OWNERSHIP; gains; acquisitions; valuation; exchange; MARKET

摘要

We examine bidder returns at the announcement of a takeover proposal when the target firm is privately held. In stock offers, bidders experience a positive abnormal return, which contrasts with the negative abnormal return typically found for bidders acquiring a publicly traded target. On the other hand, bidders experience no abnormal return in cash offers. Our analysis suggests that the positive wealth effect is related to monitoring activities by target shareholders and, to an extent, reduced information asymmetries.