This study provides a comprehensive initial evaluation of the wealth transfer hypothesis as applied to the carve-out announcement and partial IPO on stockholders and bondholders from 1983 to 2002. Using daily security prices we show that such combinations have multi-faceted wealth transfers and...

Purpose – The purpose of this paper is to examine the survivability of 810 reverse splits during the 1995-2006 period and show that companies that undertake reverse stock splits often fail within a relatively short time following the split. Design/methodology/approach - Applying both a logit...

Purpose – The purpose of this paper is to provide a comprehensive initial evaluation of divestiture gains for reacquired carve-out parent and subsidiary second event and three-year returns for the period 1980-2010. Design/methodology/approach – Using several variables, we contrast reacquired...

We examine the extent to which market-adjusted ex date returns reflect public information for 271 equity carve-outs in 1988-2006. Although prior studies focus on ex post determinants of equity carve-out and initial public offering returns, our study is the first to explore ex ante predictors of...

Purpose – The purpose of this paper is to provide a comprehensive initial evaluation of divestiture gains for reacquired carve-out parent and subsidiary second event and three-year returns for the period 1980-2010. Design/methodology/approach – Using several variables, we contrast reacquired...

Purpose – The purpose of this paper is to provide a comprehensive initial evaluation of the wealth transfer hypothesis as applied to the second‐stage events and announcements that follow carve‐outs during the period from 1983 to 2004. Design/methodology/approach – Using daily security...

Purpose – The purpose of this paper is to provide a comprehensive initial evaluation of the changing issuer objective and partial price adjustment hypotheses as applied to carve‐out parent initial and three‐year returns for the period 1988‐2006. Design/methodology/approach – Using five...