Over the last decade, managed-care companies have been consolidating on both a regional and national scale. More recently, nonprofit health plans have been converting to for-profit status, and this conversion has frequently occurred as a step to facilitate merger or acquisition with a for-profit company. Some industry observers attribute these managed-care marketplace trends to an industry shak...

In the past twenty years, companies in the aerospace industry experienced major transitions: mergers and acquisitions, and lean transformation initiatives. This thesis presents research about the relation of lean efforts and mergers and acquisitions. It is based on case studies of mergers and acquisitions undertaken by Boeing Company. In order to obtain supplementary research data, case studies...

The importance of the post-merger integration (PMI) is derived from the fact that the value creation can only begin when the organizations begin to work towards the purpose of the acquisition. Besides merger, another source of radical change in a company’s life cycle is the implementation of an enterprise system (ES), such as ERP. Both mergers and acquisitions and enterprise systems implementat...

This paper analyses a case study, the merger of two multinational companies, in the light of collective decision making. The particular organisation on which our analysis focuses is a traditional UK based British engineering company that in 1999 bought a collective of family-run businesses, scattered across Scandinavia. This paper draws on the findings from a research project carried out with t...

As mergers become increasingly important in the financial services industry, the need for proper sensitivity analysis to assess the financial impact of the merger is essential. Unlike industrial mergers, there is almost always initial dilution in a bank merger. This is because of the homogenous nature of bank P/E ratios and the high premium over book value that is typically paid. The problem of...

There is an increasing trend towards global financial consolidation. Empirical evidence has shown that though consolidation can promote market efficiency, it can also increase systemic risk. Therefore, understanding the effects of company mergers on the financial markets is an increasingly pertinent issue. This paper presents a multi-market agent-based model of endogenous merger formation, cons...

When a cash merger is announced but not yet completed, there are two key unobserved variables involved in the target company stock price: the probability of success, and the fallback price, i.e., the price conditional on merger failure. We propose an arbitrage-free model involving these two sources of uncertainty which prices European options on the target company. We empirically test our formu...

Proponents of hospital consolidation claim that mergers lead to significant cost savings, but there is little systematic evidence backing these claims. For a large sample of hospital mergers between 2000 and 2010, I estimate difference-in-differences models that compare cost trends at acquired hospitals to cost trends at hospitals whose ownership did not change. I find evidence of economically ...

In May 2000, ABC Industries (a multinational company which is quoted on the New York Stock Exchange) and Quisolvén (a company based on local capital from Columbusland1) announced the merger of their separate chemical product distribution businesses, thus creating the second largest company in the sector in Columbusland. The new joint venture Quisolvén was to be directed and operated by both par...