The effect of tender offer in experimental asset market
Tender offer is one of the most commonly used measures for corporate takeover. Empirical research suggest a significant impact of tender offer announcement on asset market, namely stock pricing and trading liquidity. In this paper, we design and conduct an experiment under the framework sugges...
Saved in:
| Main Authors: | , , |
|---|---|
| Other Authors: | |
| Format: | Final Year Project |
| Language: | English |
| Published: |
2016
|
| Subjects: | |
| Online Access: | http://hdl.handle.net/10356/66376 |
| Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
| Institution: | Nanyang Technological University |
| Language: | English |
| Summary: | Tender offer is one of the most commonly used measures for corporate takeover.
Empirical research suggest a significant impact of tender offer announcement on asset
market, namely stock pricing and trading liquidity. In this paper, we design and conduct
an experiment under the framework suggested by Smith, Suchanek and Williams (1988)
to investigate this impact. Our experiment results suggest that tender offer intensifies
price bubbles, and that takeover competition significantly increases market liquidity. |
|---|