Year: 2010
Type: dissertation
Abstract: The purpose of this paper is to examine the merger gains to the bidder firms’ \nshareholders in the U.S. petroleum industry, through an event study, and through a \ncross‐sectional regression on the event study results. This paper utilizes three different \nevent windows of 3, 11 and 21 days, symmetric around the event date in the event \nstudy. \n\nI find that the acquirers experience significantly positive abnormal returns around the \nannouncement of the acquisition or merger. Further, I find that firms acquiring public \ntargets experience significantly lower abnormal returns than firms acquiring private \ntargets. \n\nThe above‐mentioned results do not seem to be driven by extreme observations, they \nare robust to the specification of the beta coefficients and they seem to hold even for \nunclustered data.
Author: Silje Rognerud Haggerty
Language: English
Subfield: Finance
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W2502850418