after merger announcement, the passage of time is informative about the probability that the merger will ultimately complete …As illustrated in the tale of "the dog that did not bark," the absence of news and the passage of time often contain … consistent with a behavioral model of underreaction to the passage of time and cannot be explained by changes in risk or …

manufacturing firms. often induced by hostile takeover threats, are accompanied by reduced investment of all kinds, particularly in …

' buyers acquire constrained' targets. This result holds while controlling for merger terms and for different proxies used to …

In this paper, we develop a novel theory of cross-border mergers and acquisitions. Firms can choose between different … modes of foreign market access: exporting, greenfield FDI, and cross-border M&A. Our theory is based on three key ideas …. Third, capabilities are traded in a merger market. We address two questions: (1) what are the characteristics of firms that …

The use of judgmental anchors or reference points in valuing corporations affects several basic aspects of merger and … acquisition activity including offer prices, deal success, market reaction, and merger waves. Offer prices are biased towards the …, bidder shareholders react increasingly negatively as the offer price is pulled upward toward that price. Merger waves occur …

industry merger and acquisition activity. All of these effects are stronger for smaller firms than for larger firms …

We study optimal merger policy in a dynamic model in which the presence of scale economies implies that firms can … the period the merger is proposed. We also find that the ability to commit can lead to a significant welfare improvement …

associated with the merger. We call these transactions "liquidity mergers," since their main purpose is to reallocate liquidity …

The Q-theory of investment says that a firm's investment rate should rise with its Q. We argue here that this theory … also explains why some firms buy other firms. We find that 1. A firm's merger and acquisition (Mamp;A) investment responds … investment, i.e., the 'Free-Cash Flow' story works, but explains a small fraction of mergers only, and 3. The merger waves of …