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We analyze M&A announcements and focus on the potential impact of these deals on bond prices in the US corporate bond market. In particular, we investigate the effect of changes in credit, liquidity and rollover risk. This is important, as especially target firms are often small with rather...
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The paper studies how stock price misvaluation and financial frictions affect whether an acquisition occurs between or within industries and whether the acquirer pays in cash or stocks. I set up a model where stock market misvaluation correlates within industries and across industries and assume...
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comprehensive and precise valuations over time. The textbook combines rigorous quantitative analysis with effective use of graphics …
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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 …
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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 …
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