Gillette, Ann B.; Noe, Thomas H. - In: Review of Financial Studies 19 (2006) 2, pp. 561-603
This article models, and experimentally simulates, the free-rider problem in a takeover when the raider has the option to "resolicit," that is, to make a new offer after an offer has been rejected. In theory, the option to resolicit, by lowering offer credibility, increases the dissipative...