Management Optimism and Corporate Acquisitions: Evidence from Insider Trading

• Main Authors: BOEHMER, Ekkehart, Netter, Jeffry
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 1997
• Subjects: Business; Corporate Finance; Finance and Financial Management
• Online Access: https://ink.library.smu.edu.sg/lkcsb_research/4681; https://doi.org/10.1002/(SICI)1099-1468(199711/12)18:7/8%3C693::AID-MDE864%3E3.0.CO;2-0
• Institution: Singapore Management University

In this study we integrate evidence about managers' personal beliefs about their firms' prospects into an analysis of managerial decisions on acquisitions and takeover resistance. We examine insider trading (a proxy for personal beliefs) around significant corporate acquisitions and find l...