The Performances of the Winners and Losers in Contested Mergers

Gazzaz , Heba Abed; Badkook , Roaa Osama

Article Details

The Performances of the Winners and Losers in Contested Mergers

Authors:

Gazzaz , Heba Abed | Badkook , Roaa Osama

Publisher:

Research and Development of Human Recourses Center (REMAH)

Main Topics:

Economics and Finance

Journal:

Remah Review for Research and Studies 2024 Issue 111, pp.528-567

Document Type:

Article

Publication Date:

12/2024

Document Language:

English

Document ID (Org No.):

267274

Frequency:

Bi-Annual

eISSN:

25207423

pISSN:

23925418

Descriptors:

Keywords:

Abstract:

 This paper contributes to the literature by supplying empirical evidence for the post-merger performances of the winners and losers in a sample of contested UK mergers (40 deals between 1990 and 2009). It applies a significant robustness test in the form of the matching criterion of Malmendier et al. (2012) and lays the foundation for exploring the differences between the M&A markets of the US and UK. Moreover, it adopts the misvaluation disaggregation of Rhodes–Kropf et al. (2005). The results reveal that there were no significant differences between the performances of winners and losers in the post-merger period. Moreover, by tracking these firms’ activities for the two years following completion, we found that both sets of firms prevented their stock from declining more than if they had not been involved in merger activities.

Article Details

The Performances of the Winners and Losers in Contested Mergers

Authors:

Gazzaz , Heba Abed | Badkook , Roaa Osama

Publisher:

Research and Development of Human Recourses Center (REMAH)

Main Topics:

Economics and Finance

Journal:

Remah Review for Research and Studies 2024 Issue 111, pp.528-567

Document Type:

Article

Publication Date:

12/2024

Document Language:

English

Document ID (Org No.):

267274

Frequency:

Bi-Annual

eISSN:

25207423

pISSN:

23925418

Descriptors:

MERGERS

CONGLOMERATE CORPORATIONS

FINANCIAL ANALYSIS

FINANCIAL STATEMENTS

UNITED KINGDOM

Contested Merger

Misvaluation

Event Study

CAPM and Fama-French

Issues

Article Details

Authors: Gazzaz , Heba Abed | Badkook , Roaa Osama

Publisher: Research and Development of Human Recourses Center (REMAH)

Main Topics: Economics and Finance

Journal: Remah Review for Research and Studies 2024 Issue 111, pp.528-567

Document Type: Article

Publication Date: 12/2024

Document Language: English

Document ID (Org No.): 267274

Frequency: Bi-Annual

eISSN: 25207423

pISSN: 23925418

Descriptors:

Issues

Authors:

Gazzaz , Heba Abed | Badkook , Roaa Osama

Publisher:

Research and Development of Human Recourses Center (REMAH)

Main Topics:

Economics and Finance

Journal:

Remah Review for Research and Studies 2024 Issue 111, pp.528-567

Document Type:

Article

Publication Date:

12/2024

Document Language:

English

Document ID (Org No.):

267274

Frequency:

Bi-Annual

eISSN:

25207423

pISSN:

23925418