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Do shareholders of acquiring companies profit from acquisitions, or do acquiring CEOs overbidand destroy shareholder value? Answering this question is difficult since the hypotheticalcounterfactual is hard to determine. We exploit merger contests to address the identificationissue. In those...
Persistent link: https://www.econbiz.de/10010326182
While empirical studies that use event-study methodology find on average that the gains from mergers and acquisitions are positive, those focusing on accounting figures tend to find a significant drop in performance. We argue that each of the four possible combinations between positive or...
Persistent link: https://www.econbiz.de/10010291123
separately. The results showed a diametrically opposing impact of productivity and profitability on the takeover likelihood. This …This study focuses on ex ante performance of domestic and foreign takeover targets in Germany, one of the most … well as binary response model estimations of takeover probabilities were performed for the manufacturing and service sector …
Persistent link: https://www.econbiz.de/10010294465
The question of whether or not mergers and acquisitions have helped to enhance banks' efficiency and profitability has … problems involved. In this study, we analyze the effect of German bank mergers in the period 1995-2000 on banks' profitability … predominantly under-performing banks engage in mergers. Our results indicate a neutral effect of mergers on profitability and a …
Persistent link: https://www.econbiz.de/10010295943
This paper presents some ideas about determinants of merger waves and some evidence on their effect on profitability … responsible for the latest wave. The impact of merger activities on profitability and employment growth are studied by using the …
Persistent link: https://www.econbiz.de/10010271917
the impact of M&As in European banking on profitability and efficiency, considering the breakdown between domestic and … cross-border transactions. We first proceed with the profitability analysis of distinct completed M&As cases with different …, including domestic and cross-border mergers and acquisitions, the impact on profitability is insignificant, but a clear trend to …
Persistent link: https://www.econbiz.de/10011689920
This study investigates the determinants of changes in corporate ownership and firm failure, taking into account different types of sellers and buyers of control blocks. For a large panel of German corporations we find that firms are more likely to fail or to be sold when performance is poor,...
Persistent link: https://www.econbiz.de/10010297800
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