events during the private sale processhave a substantial impact on takeover prices. However, the sensitivity of private bids … duringmerger negotiations have important implications for takeover costs …

more likely to become a takeover target and offer premium and acquirers’ announcement returns are positively associated …’ takeover likelihood generates economically significant returns. Our results are robust to a battery of additional analysis, and … useful for participants in the corporate takeover markets …

choose auctions to maximize the target takeover premium through greater competition and to relax their financial constraints …

associated with higher takeover premiums and lower acquirer announcement returns. This empirical result is most consistent with … depend on external funds do not need new external capital and have no reason to acquiesce potential takeover premium to … vis à vis potential acquirers, leading to the effect on takeover pricing that we observe …

Existing finance theory predicts that managers of takeover targets will increase leverage to enhance managerial control … which can, in turn, allow target managers to thwart a takeover attempt altogether. We find that targets significantly … poorly performing target managers made between takeover announcement and withdrawal result in significantly negative abnormal …