Add to ORKGThis study finds that the deviation from a firm’s target capital structure plays an important role in determining acquisition decisions and market’s reaction to them. Firms that are underleveraged relative to their target debt ratios are more likely to make acquisitions. They acquire more and larger targets. Fluctuations in actual debt ratio rather than movements in target debt ratio influence acquisition decisions. Finally, consistent with the free cash flow hypothesis, capital markets react unfavorably to takeover announcements of underleveraged bidders
Managers often claim that an important source of value in acquisitions is the acquiring firm’s abili...
In the context of mergers and acquisitions, we provide evidence to suggest that a firm's deviation f...
The question of whether M&A pays off has attracted considerable attention from researchers. I explo...
This study finds that the deviation from a firm’s target capital structure plays an important role i...
In the context of large acquisitions, we provide evidence on whether firms have target capital struc...
In the context of large acquisitions, we provide evidence on whether firms have target capital struc...
This study explores the adjustment of acquiring firm’s capital structure after mergers and acquisiti...
Funding Information: We would like to thank Anup Basnet, Gonul Colak, Douglas Cumming, Alexandre Gar...
We study 6,083 European firms that were acquired between 1999 and 2015. Soon after the acquisition, ...
A capital structure theory based on corporate control considerations is presented. The optimal debt ...
We examine effects of capital structure management and misvaluation on the payment method in mergers...
There is scant empirical evidence on how the leverage of target firms affects gains to their shareho...
By using a large sample of Norwegian public and private firms, we study the effect of access to publ...
In this paper we formalize the information acquisition process by a potential bidder and its relatio...
This study identifies factors that may be correlated with the bidders choice between offering cash v...
Managers often claim that an important source of value in acquisitions is the acquiring firm’s abili...
In the context of mergers and acquisitions, we provide evidence to suggest that a firm's deviation f...
The question of whether M&A pays off has attracted considerable attention from researchers. I explo...
This study finds that the deviation from a firm’s target capital structure plays an important role i...
In the context of large acquisitions, we provide evidence on whether firms have target capital struc...
In the context of large acquisitions, we provide evidence on whether firms have target capital struc...
This study explores the adjustment of acquiring firm’s capital structure after mergers and acquisiti...
Funding Information: We would like to thank Anup Basnet, Gonul Colak, Douglas Cumming, Alexandre Gar...
We study 6,083 European firms that were acquired between 1999 and 2015. Soon after the acquisition, ...
A capital structure theory based on corporate control considerations is presented. The optimal debt ...
We examine effects of capital structure management and misvaluation on the payment method in mergers...
There is scant empirical evidence on how the leverage of target firms affects gains to their shareho...
By using a large sample of Norwegian public and private firms, we study the effect of access to publ...
In this paper we formalize the information acquisition process by a potential bidder and its relatio...
This study identifies factors that may be correlated with the bidders choice between offering cash v...
Managers often claim that an important source of value in acquisitions is the acquiring firm’s abili...
In the context of mergers and acquisitions, we provide evidence to suggest that a firm's deviation f...
The question of whether M&A pays off has attracted considerable attention from researchers. I explo...