Knowledge and Training for Financial Decision Making!

NEWSLETTER of April 27, 2018

 

The following content has been added at finexpert:


Quarterly finexpert Market Report

finexpert | ValueTrust

German Takeover Report 2018

The finexpert-ValueTrust German takeover report covers all takeover bids according to the German takeover code WpÜG of the year 2017 and provides extensive information on relevant variables like bid types, premia offered, market reaction of target’s and (if available) on bidder’s stock prices. In addition our extensive database allows to compare last year´s figures of these variables against the moving average of the preceding years and thus to highlight trends and long term developments. Finally the finexpert German takeover report contains a unique and extensive analysis of fairness opinions and statements of management and
supervisory board of the target company (§27 WpÜG), allowing for a detailed analysis of the relationship of these factors upon target stock price reaction and success rates of the takeover bid. After discussing potential shortcomings of “traditional” success definitions of takeover offers in this report we introduce a new success measure that takes potential bidder toeholds into account and perform additional analyses.
Our results indicate 2017 as a year with a lower number of offers, but due to one large bid, with significantly above average bid volume. This is due to the public exchange offer to Linde AG made by Linde PLC preceding the merger between Linde and Praxair. Premium offered and target CARs were below average in 2017. This report contains a detailed description of events surrounding the takeover offer for STADA Arzneimittel AG, where Value Trust was acting as financial advisor. (Teaser) >more


Studies > M & A

Allen & Overy

NEW TACTICS FOR NEW TIMES: M&A INSIGHTS Q1 2018

Allen & Overy's annual study of the private M&A market reveals how in a buoyant sellers' market, private equity funds buy-side tactics are paying off and digitalisation is driving deals across sectors. >more

Studies > Corporate Finance

Ernst & Young

WEM GEHÖRT DER DAX? ANALYSE DER AKTIONÄRSSTRUKTUR DER DAX-UNTERNEHMEN 2017

Foreign investors increased their stakes in DAX companies last year: At the end of 2017, they held an average of 53.7 percent of the shares, compared with 52.4 percent a year earlier. Accordingly, they are benefiting to an above-average extent from the sharp rise in dividend payments by Germany's top corporations. >more

Studies > Corporate Finance

KfW

CREDIT MARKET OUTLOOK MARCH 2018

New lending to enterprises and self-employed persons gained momentum once again at the end of the year after developing vigorously in the preceding quarters. The result for the year 2017 is therefore positive as well. All in all, lending increased by 5 % last year. >more

Studies > Alternative Investments

Preqin

PREQIN SPECIAL REPORT: TOP PERFORMING HEDGE FUNDS IN 2017

This report takes a closer look at those funds that have reached the top of the performance ranks in 2017. Using data taken from Preqin’s online platform, it examines the top performing hedge funds over a one- and three-year basis, as well as those funds that have been performing consistently well over the past three and five years. >more


Research Papers > Corporate Finance

BANK RESPONSE TO HIGHER CAPITAL REQUIREMENTS: EVIDENCE FROM A QUASI-NATURAL EXPERIMENT

Reint Gropp, Thomas C. Mosk, Steven Ongena, and Carlo Wix
2018
We study the impact of higher capital requirements on banks’ balance sheets and its transmission to the real economy. The 2011 EBA capital exercise is an almost ideal quasi-natural experiment to identify this impact with a difference-in-differences matching estimator. We find that treated banks increase their capital ratios by reducing their risk-weighted assets and - consistent with debt overhang - not by raising their levels of equity. Banks reduce lending to corporate and retail customers, resulting in lower asset-, investment- and sales growth for firms obtaining a larger share of their bank credit from the treated banks. >more

Research Papers         > M & A

CASH-RICH ACQUIRERS DO NOT ALWAYS MAKE BAD ACQUISITIONS: NEW EVIDENCE

Ning Gao, and Abdul Mohamed
2018
Cash-rich acquirers on average perform better than their cash-poor counterparts. This observation is driven by financially constrained acquirers and by the deals made between the 1990s and 2000s. It is robust to alternative measures of financial constraints, to both the short term and the long term, and to the different institutional setting such as the U.K. We conclude cash richness primarily reflects acquirer managers’ private information of deal quality instead of agency costs. The precautionary motive can explain the positive cash holdings effect on acquirer performance. >more