arbitrage, information theft and insider trading
Risk arbitrage involves the purchase of a target firm's shares on the announcement of a merger or tender offer. These transactions provide a risky profit opportunity when the price of the target is below the risk-adjusted expected value of the final takeover price. This article explores the role of arbitragers in the merger and acquisition of firms, and how their role is important to the process and is not to be confused with insider-trading.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
|This chapter was published in: Steven N. Durlauf & Lawrence E. Blume (ed.) , , chapter 1, pages , 2012,1st quarter update.|
|This item is provided by Palgrave Macmillan in its series The New Palgrave Dictionary of Economics with number v:6:year:2012:doi:3874.|
|Contact details of provider:|| Web page: http://www.palgrave-journals.com/|
|Order Information:|| Web: http://www.dictionaryofeconomics.com/help/faq#_Toc198623697 Email: |
When requesting a correction, please mention this item's handle: RePEc:pal:dofeco:v:6:year:2012:doi:3874. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Sheeja Sanoj)
If references are entirely missing, you can add them using this form.