Purpose - The paper aims to present an exchange ratio for merging companies that incorporates the change in the level of riskiness. Design/methodology/approach - The paper is a theoretical one. Its main objective has been achieved exploiting standard modern finance results such as Capital Asset...

Purpose - The paper aims to present an exchange ratio for merging companies that incorporates the change in the level of riskiness. Design/methodology/approach - The paper is a theoretical one. Its main objective has been achieved exploiting standard modern finance results such as Capital Asset...