Ownership Structure and Synergistic Takeover: Implications on Corporate Governance (With Chang-Mo Kang)
This paper examines the managerial disciplinary role of takeover motivated by pursuit of operational synergies, and explores how this governance function interacts with the ownership structure of target firms. We model a firm in which the manager has private information about the state of economy and may hide her under-provision of effort by misreporting the … More Ownership Structure and Synergistic Takeover: Implications on Corporate Governance (With Chang-Mo Kang)