The impact of different modelling and testing procedures is explored on inferences concerning expected acquisition benefits to bidding shareholders. Two widely accepted return models are examined and found to imply different outcomes for Australian bidding shareholders, despite controlling for...

In spite of the proliferation of alternative API metrics, little interpretation and comparison of them has been conducted. Their relationship with the capital asset pricing model has remained obscure. This paper attempts to clarify these and other issues. The major conclusion is that API (or...

The available evidence on the properties of return distributions does not convincingly support a particular method for estimating the parameters of the market model. The underlying stimulus for this paper is to resolve this issue empirically by evaluating the performance of three alternative...