Journal article icon

Journal article

Bidder earnings forecasts in mergers and acquisitions

Abstract:

This study finds that pro-forma earnings forecasts by bidding firms during acquisitions are associated with a higher likelihood of deal completion, expedited deal closing, and with a lower acquisition premium − but only in stock-financed acquisitions. Analysts also respond to these forecasts by revising their forecasts for the bidder upward. However, the benefits of forecast disclosure only accrue to bidders with a strong forecasting reputation prior to the acquisition. Explaining why not all...

Expand abstract
Publication status:
Published
Peer review status:
Peer reviewed

Actions


Access Document


Files:
Publisher copy:
10.1016/j.jcorpfin.2019.06.002

Authors


More by this author
Institution:
University of Oxford
Division:
SSD
Oxford college:
Green Templeton College
Role:
Author
ORCID:
0000-0002-0176-1093
Publisher:
Elsevier Publisher's website
Journal:
Journal of Corporate Finance Journal website
Volume:
58
Pages:
373-392
Publication date:
2019-06-10
Acceptance date:
2019-06-07
DOI:
ISSN:
0929-1199
Source identifiers:
1011179
Language:
English
Keywords:
Pubs id:
pubs:1011179
UUID:
uuid:ac1a61b8-84fc-4448-b209-17740e7db341
Local pid:
pubs:1011179
Deposit date:
2019-06-11

Terms of use


Views and Downloads






If you are the owner of this record, you can report an update to it here: Report update to this record

TO TOP