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Comment: The Effects of Conglomerate Merger Activity on Systematic Risk

Published online by Cambridge University Press:  19 October 2009

J. L. Bicksler
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Extract

Although the effects of pure diversification and synergistic mergers on market valuation have been widely discussed and there have been a number of studies estimating. merger performance using the two-parameter model of Sharpe-Lintner, the investigation of the corporate determinants of beta is of recent vintage. A variation on this theme, namely whether merger activity is impounded into beta and its speed of being impounded, is the focus of the Joehnk-Nielsen (J-N) study.

Type
Research Article
Information
Journal of Financial and Quantitative Analysis , Volume 9 , Issue 2 , March 1974 , pp. 227 - 230
Copyright
Copyright © School of Business Administration, University of Washington 1974

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References

REFERENCES

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