Using a database that covers all transactions that involve a developed-market acquirer and an emerging-market target from 1988-2002, this paper studies the stock market's reaction to acquisition announcements in emerging markets. The evidence suggests that the stock market anticipates...

Minority acquisitions, involving less than 50% of the target, represent a distinct organizational choice. With a minority acquisition, the target can mitigate some of the incentive problems that arise in contractual relationships. Less is known, however, about the trade-off between minority...

How employee share ownership plans (ESOPs) affect employee compensation and shareholder value depends on the size. Small ESOPs, defined as those controlling less than 5% of outstanding shares, benefit both workers and shareholders, implying positive productivity gains. However, the effects of...

In stark contrast to the findings based on domestic Mamp;A transactions, we find that the developed-market acquirers experience positive and significant announcement returns in transactions that involve an emerging-market target. On average, over the 1988-2003 period, developed-market acquirer...

Using a database that covers all transactions that involve a developed-market acquirer and an emerging-market target from 1988-2002, this paper studies the stock market's reaction to acquisition announcements in emerging markets. The evidence suggests that the stock market anticipates...

Hedge funds have become important investors in public companies raising equity privately. Hedge funds tend to finance companies that have poor fundamentals and pronounced information asymmetries. To compensate for these shortcomings, hedge funds protect themselves by requiring substantial...

Hedge funds have become important investors in public companies raising equity privately. Hedge funds tend to finance companies that have poor fundamentals and pronounced informational asymmetries. To compensate for these shortcomings, hedge funds protect themselves by requiring substantial...

Private Investments in Public Equity (PIPEs) have become an important source of financing for young, publicly traded firms whose poor operating performance may limit alternative financing options. We propose that firms are motivated to sell these securities to minimize costs associated with...

We show that in the years following a large broad-based employee stock option (BBSO) grant, employee turnover falls at the granting firm. We find evidence consistent with a causal relation by exploiting unexpected changes in the value of unvested options. A large fraction of the reduction in...

We present evidence that some firms pursue M&A activity with the objective of obtaining a larger workforce. Firms most likely to be acquired for their large labor force, firms with the largest ex ante employment, are associated with more positive post-merger employment outcomes. Moreover, we...