Gondhalekar, Vijay; Sant, R. Raymond; Ferris, Stephen - In: Applied Economics Letters 11 (2004) 12, pp. 735-739
A sample of cash-only acquisitions of Nasdaq targets during 1973-1999 is examined. It is found that the mean (median) percentage premia declines from 74% (65%) during the 1970s to 47% (42%) in the 1990s. Consistent with recent research on the value reduction associated with diversification, it...