On February 1, 2008, Microsoft offered $43.7billion for Yahoo. This offer was a milestone in the battle between Microsoft and Google to control the Internet search industry. The announcement accompanied a substantial decrease in Microsoft's stock price. Investors apparently considered the bid...

Knowledge gleaned from previous acquisitions may confer valuation expertise and other benefits. But numerous acquisitions also entail costs, due to problems of incorporating diverse units into an ever larger firm. Such benefits and costs are not directly observable from outside the firm. This...

(VF)Cet article analyse la restructuration de l'industrie européenne aérospatiale et de défense via la création d’EADS, société possédant 80 % d'Airbus. Lancé par une impulsion politique des gouvernements européens, ce processus a abouti à la création d’un acteur industriel de...

Mergers and acquisitions offer a framework for shedding new light on the stock market performance of socially responsible investments (SRI). We use Innovest's Intangible Value Assessment (IVA) ratings as a measure of firms' ability to cope with social and environmental risks. The IVA ratings...

Why do regulatory authorities scrutinize mergers and acquisitions? The authorities themselves claim to be combating monopoly power and protecting consumers. But the last two decades of empirical research has found little supporting evidence for such motives. An alternative is that Mamp;A...

This paper focuses on the restructuring of the European aerospace and defence industry: EADS, owning 80% of Airbus, the major global civil aircraft manufacturer, ahead of Boeing in new aircraft orders. This process (initiated by European governments) has succeeded after many developments,...

The Probability of Informed Based Trading (PIN), built on a structural sequential trade model introduced in 1987 by Easley and O'Hara, has been increasingly used in empirical research in finance. However, up to now, its behavior around corporate events has not been really investigated (at our...

This paper studies informed trading around business combinations on the French market to provide evidence of information leakage. We show that the cumulative abnormal returns and the relative spread exhibit variations thirty days before the announcement. Cumulative selling hidden volume...

Acquisitions, mergers and other business agreements are facing increasing regulatory scrutiny, even when they are among firms domiciled outside the territory of the regulatory authorities. Some noteworthy recent examples involve mergers between American firms that were prohibited by regulators...

An information flow over a period of time can affect the market in two ways: the value of the concerned assets and the degree of heterogeneity of investor anticipations. In this paper, we focus on the second aspect through the study of the information flow generated by European Commission...