FIN-450 Week 7 DQ 1- A host of empirical evidence indicates that the gains from a typical…
FIN-450 Week 7 DQ 1
Intermediate Finance - Dividend Policy
Grand Canyon University
A host of empirical evidence indicates that the gains from a typical merger accrue to the shareholders of the target corporation, not to the shareholders of the acquiring corporation. It seems the acquiring corporation should be in the "driver’s seat" in a typical merger. Why don’t their shareholders benefit? What do you think typically goes wrong to cause this result?
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