WebDec 7, 2003 · For the average (median) tender offer, the tender price is 4.75 (3.40) percent greater than the pre-tender market price while the percentage of bonds tendered is 82.3 (94.6) percent. Premiums offered by firms are greater when the firm is simultaneously soliciting consents to amend restrictive covenants and when the bond has a greater … WebThis study examines the determinants of offer premiums for a sample of fixed-price tender offers from 1970 through 1999. We investigate the extent to which the offer premiums for these tender offers are explained by both tax-related and non-tax variables. Specifically, we ask the question "What factors do managers consider in setting the offer ...
Determinants of Tender Offer Premiums - SSRN
WebAn original data set of Forbes 500 targets is used. Determinants of the bid premium are found to differ between mergers and tender offers. Target liquidity, dividend payout, size, and success probability are significant determinants of premiums in tender offers while profitability and market to book value are significant for mergers. WebFeb 1, 1994 · Changes in managerial wealth resulting from a tender offer are negatively related to the likelihood of managerial resistance to a tender offer and positively related to the likelihood of tender offer success. We also document that the abnormal returns to tender offers are lower for hostile than for friendly offers if we control for the tender ... geotech what is it
Determinants of bond tender premiums and the percentage tendered
http://flora.insead.edu/fichiersti_wp/Inseadwp1988/88-24.pdf WebRepurchase and Tender Offer Premiums James W. Wansley, William R. Lane, and Salil Sarkar ... C. Determinants of Tender Offer Premiums Several factors may affect the size of the tender offer premium. These factors may be expressed as: (i) The dividend substitution hypothesis. The pre- WebMar 1, 2007 · Our multivariate analysis of tender offers focuses on the determinants of the tender premium and the percentage of bonds tendered. In Table 5, we examine the … christian thomson marwick marketing