What do returns to acquiring firms tell us? Evidence from firms that make many acquisitions

  title={What do returns to acquiring firms tell us? Evidence from firms that make many acquisitions},
  author={K. Fuller and J. Netter and M. Stegemoller},
  journal={Journal of Finance},
  • K. Fuller, J. Netter, M. Stegemoller
  • Published 2002
  • Business
  • Journal of Finance
  • We study shareholder returns for firms that acquired five or more public, private, and/or subsidiary targets within a short time period. Since the same bidder chooses different types of targets and methods of payment, any variation in returns must be due to the characteristics of the target and the bid. Results indicate bidder shareholders gain when buying a private firm or subsidiary but lose when purchasing a public firm. Further, the return is greater the larger the target and if the bidder… CONTINUE READING
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