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associated with significantly higher takeover premia than less prominent law firms. These associations are significant even after … have stronger incentives and abilities to help realize higher takeover premia, consistent with their respective clients …
Persistent link: https://www.econbiz.de/10013103405
Over 20 years, M&A contracts have more than doubled in size – from 35 to 88 single-spaced pages in this paper's font. They have also grown significantly in linguistic complexity – from post-graduate “grade 20” to post-doctoral “grade 30”. A substantial portion (lower bound ~20%) of...
Persistent link: https://www.econbiz.de/10011582006
Using a hand-collected sample of 1,739 class actions that challenge the fairness of M&A transactions from the period 2003 through 2012, we examine the effectiveness of plaintiffs' law firms. From out of the 336 law firms in our sample, we determine the top law firms based on their popularity...
Persistent link: https://www.econbiz.de/10012972804
Contract theory largely abstracts from individual differences in the ability to design contracts. We argue that the relative expertise of contracting parties strongly affects contractual outcomes. Using unique data on company acquisition contracts, we document that lawyers with higher expertise...
Persistent link: https://www.econbiz.de/10012856301
This paper examines the impact of law firm expertise on bidder and target shareholder wealth gains during mergers and acquisitions. After controlling for endogeneity in the matching between the mandating firm (bidder or target firm) and the law firm, we find that top-tier law firms increase the...
Persistent link: https://www.econbiz.de/10012858454
information about suitable merger targets and to manage the merged corporation in case of an acquisition. Our results show that … obtain high-powered incentives and, hence, a high personal income at the merger-management stage. …
Persistent link: https://www.econbiz.de/10011430291
information about suitable merger targets and to manage the merged corporation in case of an acquisition. Our results show that … obtain high-powered incentives and, hence, a high personal income at the merger-management stage. We derive conditions under …
Persistent link: https://www.econbiz.de/10010198514
Merger deals are one of the most important business strategies which can change the company value dramatically. Mergers … analyze merger activities during economic crisis periods, as it was in Greece recently. This paper explores the accounting … for one year before and after the merger. The analysis of Greek listed companies that comprise the final sample is …
Persistent link: https://www.econbiz.de/10012506241
information about suitable merger targets and to manage the merged corporation in case of an acquisition. Our results show that … high-powered incentives and, hence, a high personal income at the merger-management stage. We derive conditions under which …
Persistent link: https://www.econbiz.de/10010340013
Previous work on exit in declining industries has neglected mergers. We examine a simple model that predicts which declining industries experience horizontal mergers. Mergers are more likely if 1) market concentration is high; 2) the inverse demand curve is steep at high levels of output and...
Persistent link: https://www.econbiz.de/10011569023