Lin, Hsuan-Chu; Chou, Ting-Kai; Cheng, Jia-Chi - In: International Review of Economics & Finance 20 (2011) 4, pp. 690-706
There is limited direct evidence on the impact of market misvaluation on acquirer long run performance. In this paper, we hypothesize that stock prices of stock-financed acquirers would move toward their fundamental value in the long run, thus correcting the initial overvaluation. Empirical...