Predicting Outcomes of Cash Tender Offers

Abstract

this question. Recent research suggests that the cash tender offer is an important element in the marketplace for corporate control and that tender offers promote the efficient utilization of corporate resources (Kummer and Hoffmeister [9] and Bradley [5]). That is, successful takeovers using cash tender offers have generally led to increased wealth for shareholders of both the bidding firm and the target firm. Much of the published research to date is written