The Impact of Takeover Announcements on Share Price: An Empirical Study about Home Takeovers and Foreign Takeovers using Event Study

• 발행기관: 글로벌경영학회
• 저자명: Rabby Fazle 은웅
• 간행물 정보: 『글로벌경영학회지』제21권 제5호, 248~267쪽, 전체 20쪽
• 주제분류: 경제경영 > 경영학
• 파일형태: PDF
• 발행일자: 2024.10.31

국문 초록

This study examines the impact of takeover announcements on share prices. Prior literature focuses on the takeover, which has many types, including reasons for funding, types of bids, targets firms for takeover announcements, and different tactics. Based on the takeover announcement, this article presents the relationship between takeover bids and M&A, as well as the structure and financing. Particularly, it investigates the impact of M&A activities and international trade on share prices, encompassing both domestic and cross-border trade, which portrays the mechanics and strategies of takeovers for bridging the knowledge gap as fewer studies has provides the comparative analyses on both domestic and cross-border M&A. On the other hand, it enhances investors’ decision-making approach as investors rely heavily on timely information to adjust their portfolios. Last but not the least, cross-border announcements generate more favorable share price reaction and this consequent may influence the corporate managers decisions in M&A, which broaden the path for globalization of the growing interconnectivity of economics. This study presents an event study surrounding M&A, where the events are the announcement dates. When an acquisition announcement is made, the share price of the acquiring firm may fluctuate during the event period. The aim of this study is to analyse the impact of these announcements on the share price of acquiring firms and compare the price reaction between home acquisitions and cross-border acquisitions. We chose 100 observations to conduct this study: 50 of them are home takeover announcements, and 50 of them are cross-border takeover announcements. As a result, we found that home takeover announcements do not make much impact on the share price, but cross-border takeover announcements positively influence the share price. Due to positive average abnormal returns, there is some evidence of anticipation or information leakage prior to the event on day -5 for both homes as well as cross-border takeovers. Home takeovers resulted in a significant level, whereas cross-border takeovers failed to reach the critical value limits. There was evidence of a positive impact on day 0 (the event day) as a result of positive and significant average abnormal returns for cross-border takeovers.

영문 초록

이 기사에서는 인수발표가주가에미치는영향을분석합니다. 기존 문헌은자금조달의이 유, 입찰 유형, 인수 대상 기업 및다양한전술을포함한여러유형의인수를다루고있다. 본 연구는인수발표를기반으로인수입찰과M&A(인수합병) 간의관계및구조와금융을제시한 다. 또한, M&A 활동과 국제무역이주가에미치는영향을국내및해외거래를포함하여조사 한다. 이 연구는 M&A를 둘러싼 이벤트 연구를 제시하며, 여기서 이벤트는 발표일이다. 인수 발표가 이루어지면 인수 기업의 주가는 이벤트 기간 동안변동할수 있다. 본연구의목적은 이러한발표가인수기업의주가에미치는영향을분석하고, 국내인수와해외인수간의주가 반응을 비교하는 것이다. 본 연구는 100개의 관측치를 선택하여 분석을 진행했으며, 그 중 50 개는국내인수발표, 나머지50개는해외인수발표이다. 연구결과, 국내인수발표는주가에 큰영향을미치지않았지만, 해외인수발표는주가에긍정적인영향을미쳤다. 긍정적인평균 초과수익률로인해, 국내및해외인수모두에서이벤트발생5일전부터어느정도의사전인 지나 정보유출이있었음을시사하는증거가있다. 국내인수는유의미한수준의초과수익률 을 보였지만, 해외 인수는중요한임계값을넘지못했다. 이벤트발생일(0일)에는 해외 인수의 긍정적이고유의미한초과수익률로인해긍정적인영향을미쳤다는증거가있었다. 이벤트연 구 방법은초과수익률계산의정확성에영향을미칠수있는가정에의존한다. 본연구는단 기초과수익률에만초점을맞추고있어, 인수가주가에미치는전체적인영향을간과할수있 다. 이 연구는투자자와기업의사결정자에게실질적인시사점을제공하여, 금융시장및기업 행동에 대한 폭넓은 이해를 돕고 의사결정과정을 보다 용이하게만들것이다.

목차

Ⅰ. Introduction

Ⅱ. Literature review and theoretical background

III. Methodology

V. Empirical Results

V. Discussion and Conclusion

키워드

Takeover announcement Share price Home-takeover Cross-border takeover Event study 인수 발표 주가 국내 인수 해외 인수 이벤트 연구