Secondary buyouts (SBOs) can be viewed as an oxymoron: Booming SBO activity meets public and investor´s perception of this investments as “lemons”, claiming that first round buyers in the primary buyout (PBO) leave no potential for further value creation on the table. Using a unique back to...

B&B strategies are increasingly popular, with past studies showing them to achieve superior returns. The question of how exactly B&B strategies create value is, however, still a "black box". Relying on a unique and proprietary sample of 161 B&B buyouts with valuation details on related add-on...

This study considers the trade-off between better top management team (TMT) decision-making involving complementary perspectives and inefficiencies due to conflicts between individuals. In analyzing characteristics of 1,071 fund partners involved in 1,295 buyout deals by 117 funds, we find that...

Pre-bid target share price movements are potentially increasing the cost of takeovers and thus are seen as a detriment for the efficiency of the market for corporate control. This pa-per investigates the relationship of pre-bid stock price movements, takeover regulation and offer premium and...

German Abstract: Die Grundsätze zur Durchführung von Unternehmensbewertungen IDW S1 fordern für die Ermittlung des Terminal Value die kapitalwertneutrale Wiederanlage von thesaurierten Beträgen. In dieser Studie wird für eine Stichprobe von 158 Bewertungsgutachten auf zwei Wegen...

This paper analyses the tax shield under realistic assumptions: no immediate refund and potential corporate bankruptcy for different financing policies. Assuming a German setting, we additionally investigate the impact of the interest ceiling (“Zinsschranke”) introduced by the German Tax...

In this paper we analyze the impact of consistency upon the accuracy of corporate values estimates provided by multiple-based valuation methods. Based on a sample with more than 6,000 firm years from German firms we find consistent multiple definitions generally to outperform inconsistent ones....