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Technological change is often hypothesized as one of the main drivers of mergeractivities. This paper analyzes the role of technology in mergers and acquisitions(M&As) at the firm level. Based on a newly created data set that combines financialinformation and patent data for public limited...
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Although domestic mergers and acquisitions (M&As) in the financial services industry have increased steadily over the past two decades, international M&As were relatively rare until recently. This paper uses a novel dataset of over 2,300 mergers that took place between 1978 and 2001 to analyse...
Persistent link: https://www.econbiz.de/10010260608
We present a model of takeover where the target optimally sets its reserve price. Under relatively standard symmetry … restrictions, we obtain a unique equilibrium. The probability of takeover is only a function of the number of firms and of the … Bertrand models. A takeover is more likely under Bertrand competition if goods are substitutes and more likely under Cournot …
Persistent link: https://www.econbiz.de/10010260718
Is the reputation of a firm tradeable when the previous owner has to retire even though ownership change is observable? We consider a competitive market in which a share of owners must retire in each period. New owners, observing only recent profits, bid for the firms on sale. Customers are...
Persistent link: https://www.econbiz.de/10010261210
In several European merger cases competition authorities have demanded that the merging firm auctions off virtual capacity. The buyer of virtual capacity receives an option on an amount of output at a pre-specified price, typically equal to marginal cost. This output is sold in the market in...
Persistent link: https://www.econbiz.de/10010261290
Unternehmenszusammenschlüsse stellen insbesondere nach der Finanzkrise wieder eine interessante Wachstumsoption für Unternehmen dar. Da in einem Unternehmenszusammenschluss stets unterschiedliche Unternehmenskulturen aufeinanderprallen, führen damit einhergehende Veränderungen meist zu einem...
Persistent link: https://www.econbiz.de/10010308173
We analyze the effects of downstream firms' acquisition of pure cash flow rights in an efficient upstream supplier when all firms compete in prices. With an acquisition, downstream firms internalize the effects of their actions on their rivals' sales. Double marginalization is enhanced. Whereas...
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