#2779. Can information asymmetry explain both the post-merger value and the announcement discount in M&As?

November 2026publication date
Proposal available till 30-05-2025
4 total number of authors per manuscript3000 $

The title of the journal is available only for the authors who have already paid for
Journal’s subject area:
Economics, Econometrics and Finance (all);
Places in the authors’ list:
place 1place 2place 3place 4
FreeFreeFreeFree
900 $800 $700 $600 $
Contract №2779.1 Contract №2779.2 Contract №2779.3 Contract №2779.4
1 place - free (for sale)
2 place - free (for sale)
3 place - free (for sale)
4 place - free (for sale)

Abstract:
The article analyzes the relationship between the discount at the announcement and the evaluation of mergers and acquisitions (M&A) transactions after the merger; and suggests that they are related to the implications of the information asymmetry hypothesis of Myers and Maylouf (1984). The results show that the ad discount is proportional to the increase in the information disparity around the announcement date (rather than the information asymmetry before the merger).
Keywords:
Corporate finance; Factor analysis; Information asymmetry; Mergers and acquisitions

Contacts :
0