Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
5086450 | Japan and the World Economy | 2007 | 16 Pages |
Abstract
We consider a situation in which a raider attempts to seize corporate control from a leading large shareholder who chooses between undertaking intervention in the management of the firm and selling its stake to increase its expected payoff. A takeover is more likely to succeed the lower is the ownership concentration of the target firm. However, the higher are the costs of a takeover, the greater must the ownership concentration be for the raider to attempt a takeover. If there is a takeover, the value of the target firm is lower the greater is its ownership concentration.
Keywords
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Mami Kobayashi,