268,994 research outputs found
The effect of ESG-performance on M&A premiums : An Empirical Analysis of ESG in M&A’s
No full textMasteroppgave(MSc) in Master of Science in Business, Finance - Handelshøyskolen BI, 2022We conduct a multiple regression on 1,498 M&A transactions from
North America and Europe to study the relationship between
ESG and M&A premium. Further on, we examine if it exists
differences across industries and whether these differences can give
us an economic intuition of the relationship. Our findings suggest
that, overall, the premium reflects the ESG-performance of the
target firm; however, we acquired somewhat ambiguous results when
differentiating between industries. The industries are in different
stages of the ESG evolution, which underscores the reasoning behind
the ambiguous results. When increasing the target ESG-scores by
one standard deviation, we were able to prove that there is an
economic gain by focusing on improving ESG-scores to increase
premiums
A value for bi-cooperative games
No full textBi-cooperative games were introduced by Bilbao et al. as a generalization of TU cooperative games, in which each player can participate positively, negatively, or not at all. In this paper, we propose a definition of a share of the worth obtained by some players after they decided on their participation in the game. It turns out that the cost allocation rule does not look for a given player to her contribution at the opposite participation option to the one she chooses. The relevance of the value is discussed on several examples.Bi-cooperative games ;Value ;Efficiency
Cost Savings and Energy Reduction: Bi-Level Lighting Retrofits in Multifamily Buildings
No full textCommunity Environmental Center implements Bi- Level Lighting fixtures as a component of cost-effective multifamily retrofits. These systems achieve substantial energy savings by automatically reducing lighting levels when common areas are unoccupied. Because there is a lack of empirical evidence documenting the performance of these systems, this paper uses electric consumption data collected from buildings before and after retrofits were performed, and analyzes the cost and consumption savings achieved through installation of Bi-Level Lighting systems. The results of this report demonstrate that common areas that are currently not making use of Bi-Level lighting systems would achieve significant financial and environmental benefits from Bi-Level focused retrofits. This project concludes that building codes should be updated to reflect improvements in Bi-Level Lighting technologies, and that government-sponsored energy efficiency programs should explicitly encourage or mandate Bi-Level Lighting installation components of subsidized retrofit projects
How do M&As drive performance of acquiring tech firms? Evidence from the US
No full textMasteroppgave(MSc) in Master of Science in Business, Finance - Handelshøyskolen BI, 2019In our study, we aim at understanding what drives acquirer in tech M&As. We examine a sample of
3,813 M&A transactions by US publicly-traded technological firms from 1991 to 2019. Since
bidders1 and deals characteristics vary largely, we test for any significant effect in abnormal
announcement returns. Results suggest that the acquirer’s shareholders gain when engaging in M&As
with a private or subsidiary target, regardless of the size. However, they lose when buying a public
firm, except when the transaction is paid for with cash. Further, a good performer is an acquiringtech
firm that shows financial strength in its liquidity, operational strength in its efficiency, and
substantial growth prospects. In contrast, a poor performer is a bidder that is overvalued, highly
levered and employs a high level of R&D spending. These results are consistent with the signalling,
information asymmetry, size effect and free cash flow hypothesis
Family Firms & Diversification Through M&A: Evidence From Norway
No full textMasteroppgave(MSc) in Master of Science in Finance - Handelshøyskolen BI, 2019This study examines the behavior of family firms on whether they are more
inclined to engage in diversifying M&As than non-family firms due to their high
value of control. To analyse this theory, data has been manually collected where
ownership, deal, and financial data were available, for completed M&A
transactions in Norway from 2000 through 2018. First, we find evidence that
family firms are more inclined to pursue diversifying acquisitions. However, we
find no significant evidence that family firms with a high value of control, proxied
by their leverage, are more inclined to undertake diversifying M&As. Second,
when restricting the transactions to only cash financing, it is clear that family
firms are still willing to engage in diversifying acquisitions, and significant ly
more inclined when the value of control increases. Third, we find no significant
proof that family firms have a higher preference to issue long-term debt than
short-term debt. Finally, we implement additional robustness regression, with an
alternative family firm definition. Based on these results, the study shows an
increase in significance for most of the findings, which provides a better
understanding of family firm’s behavior in terms of their value of control.
Keywords: Family firms, M&A, acquisitions, leverage, diversification, control
motives, method of payment.
JEL classification: G32, G34
Optimalisering av M&A - Et juridisk strategisk perspektiv
No full textMaster of Science, Forretningsjus og økonomi, Handelshøyskolen BI, 2023Det er forsket mye på fusjoner og oppkjøp (M&A), og det blir hyppig diskutert i forskningslitteraturen om det lønner seg å gjøre en M&A eller ikke. Studier viser at 70 % til 90 % av M&A ikke blir vellykket, men årsaken til dette enes de ikke om. Denne oppgaven redegjør for hvordan man med en strategisk tilnærming til de juridiske problemstillingene som oppstår i en transaksjon, kan bidra til å skape en vellykket M&A. Utfordringen som umiddelbart oppstår, er hvordan man i praksis kategoriserer en M&A som vellykket eller mislykket. Er det aksjekursen som er avgjørende, eller er det selskapets egne strategiske måloppnåelse som er viktigst? Hvem en M&A bør skape verdi for, er sentralt å vite for å vurdere dette. Etter intervjuer med ledende eksperter på området virker det som om de foreliggende strategiske mål med transaksjonen er viktigere enn aksjekursen, og at enhver M&A må skape mest verdi for kjøper av målselskapet. Flere M&A skaper derimot ikke verdien kjøper så for seg. Det er forskjellige meninger om hvorfor det er slik. Mange mener at hovedproblemet ligger i forskjellige integrasjonsutfordringer. Derimot virker det å være mindre interesse for å utforske hvor mye juridiske utfordringer faktisk betyr for verdiskapingen i en M&A. Basert på intervjuer, undersøkelser og egne refleksjoner, er det klart at det finnes et uforløst potensial for å skape mer verdi i en M&A ved å løse enkelte juridiske problemstillinger strategisk fornuftig.
Dersom målselskapets aksjer ikke er notert på børs, skaper det verdi å ha en god juridisk strategi under forhandlingene. Det er viktig å utforme hensiktsmessige avtaler med selger, og spesielt viktig å gjøre en god juridisk DD. Dersom målselskapets aksjer er notert på børs er det viktig å utforme en god juridisk strategi som tar hensyn til reglene om flagging, tilbudsplikt og frivillige tilbud. Spesielt interessant er det hvordan verdipapirhandelloven § 6-19 (2) ser ut til å skulle tolkes. Bruk av bestemmelsen kan øke kjøpers forhandlingsfrihet, og kan i visse oppkjøpssituasjoner benyttes for å forhandle med individuelle aksjonærer. Ved en god strategi slipper dermed kjøper å fremme frivillige tilbud til alle aksjonærene. Dette vil i mange tilfeller minimere vederlaget kjøper må betale for å tilegne seg kontroll i selskapet. Det går verken på bekostning av det samfunnsøkonomiske overskuddet eller samfunnets nytteverdi. Et fornuftig juridisk strategisk perspektiv på problemstillingene, kan optimalisere en M&A
Unraveling the Influence of CSR on M&A Decisions - The Effect of CSR on Target Choice and M&A Premiums
No full textMasteroppgave(MSc) in Master of Science in Business, Finance - Handelshøyskolen BI, 20224This thesis examines the impact of Corporate Social Responsibility (CSR)
on Merger and Acquisition (M&A) decisions. Specifically, the study assesses
how CSR affects the selection of target companies and deal premiums. The
analysis is based on a dataset of 333 transactions involving acquirers based
in the United States, Canada, and Western Europe. The findings reveal that
a higher CSR score for the acquiring company increases the likelihood of the
target company having a higher CSR score, suggesting that the target’s CSR
practices significantly influence the selection process. Additionally, the analysis
reveals that the CSR score of the target company notably impacts the deal
premium. Furthermore, when assessing the individual pillar score’s effect on
the deal premium, it is found that only the governance pillar has a significant
effect on the deal premium.
Keywords
The Impact of ESG on Firm Value: Evidence From M&A
No full textMasteroppgave(MSc) in Master of Science in Finance - Handelshøyskolen BI, 2023This thesis examines the impact of Environmental, Social, and Governance (ESG)
factors on shareholder value using a large sample of mergers and acquisitions
(M&A) deals in the US. Our findings indicate a significant negative relationship
between ESG and acquirer firm value around the announcement date. In addition,
Governance pillar (G) of ESG is found as the primary contributor to this negative
relationship. These results align with shareholder expense theory, indicating that
ESG considerations impose costs on acquiring firms in the short term. However,
the long-term relationship between ESG and firm value remains inadequately
understood due to the absence of a statistically significant coefficient in this
research.
Key Words: Environmental, Social and Governance (ESG), shareholder expense
theory, Mergers and Acquisitions (M&A), Cumulative Abnormal Return (CAR),
firm valu
The impact of M&A announcements on acquiring and target firm's shareholders
No full textMasteroppgave(MSc) in Master of Science in Finance - Handelshøyskolen BI, 2023This thesis employs an event study analysis to examine the impact of 243 Norwegian mergers and acquisitions (M&A) announcements on abnormal shareholder returns across short-term and long-term event windows. It also investigates potential information leakage through pre-announcement returns and considers the influence of payment structure in the transaction. The research further differentiates deals pre- and post-COVID-19. Findings indicate short-term wealth gains for both acquirer and target shareholders, with long-term benefits accruing only to the target. No evidence of information leakage is found. The most effective payment method for acquirers is found to be a combination of cash and stock, while targets derive the greatest benefit from pure cash payments. Differences emerge in the pre-and post-pandemic periods, with acquirers benefiting more pre-pandemic and targets post-pandemic. Thus, investors are urged to closely monitor M&A announcements
The development of high field magnets utilizing Bi-2212 wind & react insert coils
No full textWind & react Bi-2212 inserts have been manufactured and tested inside a wide-bore NbTi-Nb3Sn magnet providing a background field up to 20T at 4.2K. A pair of six-layer concentric coils both achieved critical currents of 350 A (JE = 200 A/mm2) in a 20T background field. A thicker 14-layer insert made from 119m of round wire had a critical quench current IQ of 287A (JE = 162 A/mm2) at the same field and contributed to a combined central field of 22.5 T. This is a record for a fully superconducting magnet at 4.2 K. The 14-layer coil, equipped with an external protective shunt, was used for an extensive series of quench measurements and endured >150 quenches without damage. Minimum quench energies were found to be in the range of 200-500mJ in background fields of 15-20T when the coil carried 70-95% of its critical quench current
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