Maheswaran, Krishnan; Yeoh, Soon Chin - In: Australian Journal of Management 30 (2005) 1, pp. 111-126
In this paper we examine the risk-adjusted profitability of merger arbitrage in Australia. Using a sample of 193 merger and acquisition bids from January 1991 to April 2000, we construct a time series of returns on equal and value-weighted merger arbitrage portfolios. Benchmarking the returns on...