Event

Does Short-Selling Potential Influence Mergers and Acquisitions Payment Choice?

The Essex Finance Center (EFiC) warmly invite you to join Professor Marie Dutordoir as she explores short-selling of stocks and investor behaviour.

  • Wed 23 Jun 21

    14:00 - 16:00

  • Online

    Contact organiser for details

  • Event speaker

    Professor Marie Dutordoir, Alliance Manchester Business School, University of Manchester

  • Event type

    Lectures, talks and seminars
    Essex Finance Centre (EFiC) Research Seminar Series

  • Event organiser

    Essex Business School

  • Contact details

    Dr Nikolaos Vlastakis

The aim of the Essex Finance Centre (EFiC) research seminar series is to bring together research expertise within the university and external network. This seminar invites guest speaker Dr Marie Dutordoir as she explores investor behaviour and stock-financed mergers and acquisitions.

Seminar abstract

Announcements of stock-financed mergers and acquisitions (M&As) may attract short selling of bidder shares by merger arbitrageurs.

It is hypothesized that bidders with higher short-selling potential include a higher proportion of cash in their M&A payments to reduce price pressure resulting from arbitrage short sales.

Consistent with this prediction, the researchers find a positive impact of the ex-ante net lending supply of bidder shares on the percentage of cash in public target payments.

They corroborate this result in a placebo analysis and several robustness tests. Their paper adds to a growing literature analysing the interplay between corporate and investor behaviour.

 

Booking

This seminar is free to attend.

We ask that you contact the organiser for more details on how to join this seminar online.

 

Speaker bio

Marie Dutordoir is Head of the Accounting and Finance Division at the Alliance Manchester Business School, University of Manchester.

Before joining Manchester Business School in April 2009, Marie held a position at the Rotterdam School of Management (The Netherlands) and was a visiting scholar at Columbia Business School (New York).

Marie's research deals with;

  • corporate securities issuance,
  • mergers and acquisitions,
  • short selling,
  • corporate social responsibility,
  • and topics at the interface between finance and other business disciplines (accounting, marketing, operations management).

Her research has been published in leading journals, such as Journal of Financial Economics, Journal of Operations Management, Journal of Financial and Quantitative Analysis, and Journal of Corporate Finance.

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