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Mergers and takeovers in Spain: empirical evidence on abnormal returns and insider trading

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  • Ocaña Pérez de Tudela, Oscar
  • Peña, Juan Ignacio
  • Robles, Dolores

Abstract

This paper aims to the measurement of returns on takeovers on firms listed in the Spanish stock market in the period 1990 to 1993. Using several estimation and testing methods, abnormal positive returns are found for the targets. Some evidence of insider trading is presented and itsı implications for market regulation are addressed.

Suggested Citation

  • Ocaña Pérez de Tudela, Oscar & Peña, Juan Ignacio & Robles, Dolores, 1994. "Mergers and takeovers in Spain: empirical evidence on abnormal returns and insider trading," DEE - Working Papers. Business Economics. WB 7079, Universidad Carlos III de Madrid. Departamento de Economía de la Empresa.
    • Handle: RePEc:cte:wbrepe:7079
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    References listed on IDEAS

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    1. Cohen, Kalman J. & Hawawini, Gabriel A. & Maier, Steven F. & Schwartz, Robert A. & Whitcomb, David K., 1983. "Friction in the trading process and the estimation of systematic risk," Journal of Financial Economics, Elsevier, vol. 12(2), pages 263-278, August.
    2. Brown, Stephen J. & Warner, Jerold B., 1985. "Using daily stock returns : The case of event studies," Journal of Financial Economics, Elsevier, vol. 14(1), pages 3-31, March.
    3. Keown, Arthur J & Pinkerton, John M, 1981. "Merger Announcements and Insider Trading Activity: An Empirical Investigation," Journal of Finance, American Finance Association, vol. 36(4), pages 855-869, September.
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    1. Nuria Alcalde Fradejas & Manuel Espitia Escuer & Jaime Vallés Giménez, "undated". "El mercado para el control de empresas en Espana. Identificación de las empresas objetivo de OPA," Studies on the Spanish Economy 159, FEDEA.

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    Keywords

    Takeovers;

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