We investigate the valuation effects of German firms targeted by hedge funds and by private equity investors. We argue that both types of investors differ from other blockholders by their strong motivation and ability to actively engage and reduce agency costs. Consequently, we find positive...

This paper examines the market's reaction to news of corporate mergers and acquisitions (M&A) by Japanese bidders during the 1990s. Domestic versus global bids and pro-M&A legislation are considered as determinants of bidders' abnormal returns. The results show that bidders for domestic targets...

Duality of the role of President of the Board of Directors (BoD) and CEO has been regarded as a good practice of corporate governance. These two roles are the ones with the most power an authority within the corporation. The paper depicts the formulating factors of duality of roles in Greece....

Spanish Abstract: El proceso de desregulación del sector eléctrico en la Unión Europea generó acciones estratégicas de parte de las empresas del sector que han llevado al reordenamiento de su mercado de energía eléctrica. Una serie de fusiones y adquisiciones ocurrieron a raíz de ese...

The deregulation process in the EU electricity sector triggered strategic decisions that led to industry restructuring. This paper presents preliminary evidence of the impact of this process on investors, using event studies and estimation techniques such as least squares and GARCH. Our findings...

This paper analyzes how announce changes in the corporate control (takeover) of Endesa, Hidrocantábrico and Scottish Power affect their stock market returns and the impact that these events have on the stock market returns of competitors of the target firm. Using an “event study”...

Exploiting the 2009 amendments to Regulation S-K, we provide unique evidence on the first-time disclosure of the reasons firms state for combining (separating) the roles of CEO and chairman. The stated reasons support both agency theory and organization theory. They are more numerous and...

We examine the effect of voting requirements in M&A transactions on managerial disclosure, information asymmetries, and voting outcomes. We find that voting requirements lead firms to provide more disclosure and in a timelier manner, including disclosure of the merger agreement, information on...

We analyze the presence of activist investors (hedge funds and private equity funds) and their impact on top management turnover in Germany. We contrast two hypotheses. The monitoring hypothesis is based on agency theory. Under this hypothesis, we expect active investors to increase top...

The purpose of this paper is to examine whether adopting OECD-prescribed corporate governance principles can solve the major corporate governance problem in an emerging economy - controlling-shareholder expropriation. We argue that none of any "good corporate governance practices" in OECD...