Shekhar, Shiva; Wey, Christian - 2017
acquirer firm to learn the merger synergies with the target firm in advance. The realization of a synergy is uncertain ex ante …, so that a direct merger exhibits a downside risk not only for the merging candidates but also for consumers. We show that … initial minority share, becomes an insider, and learns the merger synergy. We show how this feature of PPOs affects a firm …