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CORPORATE MERGERS AND THE CO‐INSURANCE OF CORPORATE DEBT
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CORPORATE MERGERS AND THE CO‐INSURANCE OF CORPORATE DEBT (1977)CORPORATE MERGERS AND THE CO‐INSURANCE OF…Theory of the firm; managerial Behavior, Agency Costs, and Ownership Structure (1996)Theory of the firm; manageria…Theory of the firm: Managerial behavior, agency costs and ownership structure (1976)Theory of the firm: Manageria…The option pricing model and the risk factor of stock (1976)The option pricing model and …CORPORATE BANKRUPTCY AND CONGLOMERATE MERGER (1975)CORPORATE BANKRUPTCY AND CONG…Risk and return: The case of merging firms (1974)Risk and return: The case of …Studies in the Theory of Capital Markets. (1973)Studies in the Theory of Capi…The capital asset pricing model: Some empirical tests (1972)The capital asset pricing mod…A PURE FINANCIAL RATIONALE FOR THE CONGLOMERATE MERGER (1971)A PURE FINANCIAL RATIONALE FO…Capital structure, free cash flow, diversification and firm performance: A holistic analysis (2013)Capital structure, free cash …Business group affiliation, ownership structure, and the cost of debt (2013)Business group affiliation, o…Mergers increase default risk (2011)Mergers increase default riskCorporate Takeovers**Surveying the vast area of corporate takeovers is a daunting task, and we have undoubtedly missed many interesting contributions. We apologize to those who feel their research has been left out or improperly characterized, and welcome reactions and comments. Some of the material in Section 3 is also found in Eckbo (2008). (2008)Corporate Takeovers**Surveyin…Can a Previous Alliance Between an Acquirer and a Target Affect Acquisition Performance? (2004)Can a Previous Alliance Betwe…Do Spin‐offs Expropriate Wealth from Bondholders? (2003)Do Spin‐offs Expropriate Weal…Cross-Subsidies, External Financing Constraints, and the Contribution of the Internal Capital Market to Firm Value (2003)Cross-Subsidies, External Fin…Capital Market Development, International Integration, Legal Systems, and the Value of Corporate Diversification: A Cross-Country Analysis (2003)Capital Market Development, I…Corporate Governance and Control (2002)Corporate Governance and Cont…Financial leverage changes associated with corporate mergers (2000)Financial leverage changes as…Wealth creation versus wealth redistributions in pure stock-for-stock mergers1We are grateful to Tom Arnold, Sanjai Bhagat, James Bicksler, David Blackwell, Ekkehart Boehmer, Ted Bos, Robert Brokaw, Bill Carleton, Bob Comment, Chris Cornwell, Mary Dehner, Bob Eisenbeis, Jimmy Hilliard, Randy Howard, Steve Jones, Ed Kane, Josef Lakonishok, Larry Lang, Bill Lewellen, Marc Lipson, Paul Malatesta, Jeff Netter, Cathy Niden, Volker Pollmann, Annette Poulsen, Jay Ritter, Richard Ruback, Louis Scott, Joe Sinkey, Bill Schwert (the editor), Ralph Walkling (the referee), Ron Warren, J. Fred Weston, Karen Wruck, and seminar participants at the University of Arizona, the University of Delaware, the University of Illinois, the University of Georgia, the University of Miami, Seattle University, the 1995 European Finance Association, the 1996 Financial Management Association, and the 1996 American Finance Association meetings for their helpful comments and recommendations. We also gratefully acknowledge the financial support provided for this project by the University of Georgia Research Foundation. Finally, Steve Henry, Rick McKinney, David Quillian, and Ryan Vaughn provided vital assistance with data collection and assisted with data input.1 (1998)Wealth creation versus wealth…The Effects of Megamergers on Efficiency and Prices: Evidence from a Bank Profit Function (1997)The Effects of Megamergers on…SHAREHOLDER WEALTH GAINS IN MERGERS: EFFECT OF SYNERGY AND OWNERSHIP STRUCTURE (1996)SHAREHOLDER WEALTH GAINS IN M…Employee Stock Ownership Plans, Firm Performance, and Monitoring by outside Blockholders (1995)Employee Stock Ownership Plan…The Use of Excess Cash and Debt Capacity as a Motive for Merger (1988)The Use of Excess Cash and De…The Impact of Merger Bids on the Participating Firms' Security Holders (1982)The Impact of Merger Bids on …Portfolio Selection: Efficient Diversification of Investments (1959)CAPITAL ASSET PRICES: A THEORY OF MARKET EQUILIBRIUM UNDER CONDITIONS OF RISK* (1964)An Intertemporal Capital Asset Pricing Model (1973)THE VALUATION OF RISK ASSETS AND THE SELECTION OF RISKY INVESTMENTS IN STOCK PORTFOLIOS AND CAPITAL BUDGETS**This paper is another in a series of interrelated theoretical and statistical studies of corporate financial and investment policies being made under grants from the Rockefeller Foundation, and more recently the Ford Foundation, to the Harvard Business School. The generous support for this work is most gratefully acknowledged. The author is also much indebted to his colleagues Professors Bishop, Christenson, Kahr, Raiffa, and (especially) Schlaifer, for extensive discussion and commentary on an earlier draft of this paper; but responsibility for any errors or imperfections remains strictly his own.[Professor Sharpe's paper, “Capital Asset Prices: A Theory of Market Equilibrium Under Conditions of Risk” (Journal of Finance, September 1964) appeared after this paper was in final form and on its way to the printers. My first section, which parallels the first half of his paper (with corresponding conclusions), sets the algebraic framework for sections II, III and VI, (which have no counterpart in his paper) and for section IV on the equilibrium prices of risk assets, concerning which our results differ significantly for reasons which will be explored elsewhere. Sharpe does not take up the capital budgeting problem developed in section V below.] (1975)The Cross-Section of Expected Stock Returns (1992)Common risk factors in the returns on stocks and bonds (1993)Markets and Hierarchies: Analysis and Antitrust Implications. (1976)The Structure of Corporate Ownership: Causes and Consequences (1985)Diversification's effect on firm value (1995)Financial Advisors and Shareholder Wealth Gains in Corporate Takeovers (2003)Merger Momentum and Investor Sentiment: The Stock Market Reaction to Merger Announcements* (2006)EFFICIENT CAPITAL MARKETS: A REVIEW OF THEORY AND EMPIRICAL WORK* (1970)The Pricing of Options and Corporate Liabilities (1973)The valuation of compound options (1979)Ownership Structure, Deregulation, and Bank Risk Taking (1990)Strong boards, CEO power and bank risk-taking (2009)The Cost of Capital, Corporation Finance and the Theory of Investment (1958)Corporate focus and stock returns (1995)Curvilinearity in the diversification-performance linkage: an examination of over three decades of research (2000)The cost of capital, corporation finance and the theory of investment (2008)Risk, Return, and Equilibrium: Empirical Tests (1973)Measuring security price performance (1980)Strategic Factor Markets: Expectations, Luck, and Business Strategy (1986)Efficient Capital Markets: II (1991)CORPORATE INCOME TAXES AND THE COST OF CAPITAL: A CORRECTION (1963)SECURITY PRICES, RISK, AND MAXIMAL GAINS FROM DIVERSIFICATION* (1965)INVESTOR RECOGNITION OF CORPORATE INTERNATIONAL DIVERSIFICATION (1977)Assessing international diversification of West German corporations (1987)Strategy Making Under Causal Ambiguity: Conceptual Issues and Empirical Evidence (1997)Agency Costs of Free Cash Flow, Corporate Finance, and Takeovers (1986)What Do We Know about Capital Structure? Some Evidence from International Data (1995)Asset Liquidity and Capital Structure (2009)The Impact of Leverage on Real Earnings Management (2013)The Nature of the Firm (1937)Separation of Ownership and Control (1983)Corporate financing and investment decisions when firms have information that investors do not have (1984)Law and Finance (1998)Empirical Tests of the Consumption‐Oriented CAPM (1989)Idiosyncratic Volatility and the Cross Section of Expected Returns (2008)Taming the Factor Zoo: A Test of New Factors (2020)INFORMATIONAL ASYMMETRIES, FINANCIAL STRUCTURE, AND FINANCIAL INTERMEDIATION (1977)Reputation Acquisition in Debt Markets (1989)Finance and Growth: Theory and Evidence (2004)
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References

  • 1976Theory of the firm: Managerial behavior, agency costs and ownership structure71,441 cited
  • 1996Theory of the firm; managerial Behavior, Agency Costs, and Ownership Structure4,245 cited
  • 1972The capital asset pricing model: Some empirical tests2,705 cited
  • 1976The option pricing model and the risk factor of stock1,239 cited
  • 1971A PURE FINANCIAL RATIONALE FOR THE CONGLOMERATE MERGER1,189 cited
  • 1974Risk and return: The case of merging firms869 cited
  • 1973Studies in the Theory of Capital Markets.737 cited
  • 1975CORPORATE BANKRUPTCY AND CONGLOMERATE MERGER264 cited

Cited by

  • 1998Wealth creation versus wealth redistributions in pure stock-for-stock mergers1We are grateful to Tom Arnold, Sanjai Bhagat, James Bicksler, David Blackwell, Ekkehart Boehmer, Ted Bos, Robert Brokaw, Bill Carleton, Bob Comment, Chris Cornwell, Mary Dehner, Bob Eisenbeis, Jimmy Hilliard, Randy Howard, Steve Jones, Ed Kane, Josef Lakonishok, Larry Lang, Bill Lewellen, Marc Lipson, Paul Malatesta, Jeff Netter, Cathy Niden, Volker Pollmann, Annette Poulsen, Jay Ritter, Richard Ruback, Louis Scott, Joe Sinkey, Bill Schwert (the editor), Ralph Walkling (the referee), Ron Warren, J. Fred Weston, Karen Wruck, and seminar participants at the University of Arizona, the University of Delaware, the University of Illinois, the University of Georgia, the University of Miami, Seattle University, the 1995 European Finance Association, the 1996 Financial Management Association, and the 1996 American Finance Association meetings for their helpful comments and recommendations. We also gratefully acknowledge the financial support provided for this project by the University of Georgia Research Foundation. Finally, Steve Henry, Rick McKinney, David Quillian, and Ryan Vaughn provided vital assistance with data collection and assisted with data input.1241 cited

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2000
Financial leverage changes associated with corporate mergers
238 cited
  • 1982The Impact of Merger Bids on the Participating Firms' Security Holders235 cited
  • 2003Cross-Subsidies, External Financing Constraints, and the Contribution of the Internal Capital Market to Firm Value233 cited
  • 2004Can a Previous Alliance Between an Acquirer and a Target Affect Acquisition Performance?224 cited
  • 2003Capital Market Development, International Integration, Legal Systems, and the Value of Corporate Diversification: A Cross-Country Analysis221 cited
  • 2008Corporate Takeovers**Surveying the vast area of corporate takeovers is a daunting task, and we have undoubtedly missed many interesting contributions. We apologize to those who feel their research has been left out or improperly characterized, and welcome reactions and comments. Some of the material in Section 3 is also found in Eckbo (2008).220 cited
  • 2002Corporate Governance and Control198 cited
  • 1995Employee Stock Ownership Plans, Firm Performance, and Monitoring by outside Blockholders173 cited
  • 2003Do Spin‐offs Expropriate Wealth from Bondholders?172 cited
  • 1997The Effects of Megamergers on Efficiency and Prices: Evidence from a Bank Profit Function169 cited
  • 2011Mergers increase default risk165 cited
  • 1996SHAREHOLDER WEALTH GAINS IN MERGERS: EFFECT OF SYNERGY AND OWNERSHIP STRUCTURE163 cited
  • 1988The Use of Excess Cash and Debt Capacity as a Motive for Merger160 cited
  • 2013Business group affiliation, ownership structure, and the cost of debt157 cited
  • 2013Capital structure, free cash flow, diversification and firm performance: A holistic analysis144 cited