The impact of anti-takeover charter amendments on expectations of future earnings and takeover activity

In this study, additional evidence of the impact of anti-takeover amendments on firm earnings and subsequent takeover activity is presented. It is found that analysts' projections of financial performance measures do not appear to be altered by the adoption of anti-takeover amendments. Additionally, it is found that the anti-takeover charter amendments do not impact either takeover activity or takeover premiums following their adoption. Thus, anti-takeover amendments appear to have few, if any, consequences to shareholders. Copyright © 1999 John Wiley & Sons, Ltd.

[1]  Mark S. Johnson,et al.  The Impact of Antitakeover Amendments on Corporate Financial Performance , 1997 .

[2]  R. Hansen,et al.  Externalities and Corporate Objectives in a World with Diversified Shareholder/Consumers , 1996, Journal of Financial and Quantitative Analysis.

[3]  G. Schwert,et al.  Poison or Placebo? Evidence on the Deterrent and Wealth Effects of Modern Antitakeover Measures , 1993 .

[4]  J. Jahera,et al.  ANTITAKEOVER CHARTER AMENDMENTS: EFFECTS ON CORPORATE DECISIONS , 1992 .

[5]  Sanjai Bhagat,et al.  Voting power in the proxy process: The case of antitakeover charter amendments , 1991 .

[6]  Annette B. Poulsen,et al.  Shark Repellents and Managerial Myopia: An Empirical Test , 1990, Journal of Political Economy.

[7]  Ellie G. Harris Antitakeover Measures, Golden Parachutes, and Target Firm Shareholder Welfare , 1990 .

[8]  Jeremy C. Stein,et al.  Takeover Threats and Managerial Myopia , 1988, Journal of Political Economy.

[9]  J. Pound,et al.  The Effects of Antitakeover Amendments on Takeover Activity: Some Direct Evidence , 1987, The Journal of Law and Economics.

[10]  Annette B. Poulsen,et al.  Shark repellents and stock prices: The effects of antitakeover amendments since 1980 , 1987 .

[11]  E. Fama,et al.  Agency Problems and Residual Claims , 1983, The Journal of Law and Economics.

[12]  E. Fama,et al.  Separation of Ownership and Control , 1983, The Journal of Law and Economics.

[13]  S. Linn,et al.  An empirical investigation of the impact of ‘antitakeover’ amendments on common stock prices , 1983 .

[14]  H. DeAngelo,et al.  Antitakeover charter amendments and stockholder wealth , 1983 .

[15]  Michael C. Jensen,et al.  The market for corporate control , 1983 .

[16]  M. C. Jensen,et al.  Harvard Business School; SSRN; National Bureau of Economic Research (NBER); European Corporate Governance Institute (ECGI); Harvard University - Accounting & Control Unit , 1976 .

[17]  C. R. Knoeber,et al.  Golden Parachutes, Shark Repellents, and Hostile Tender Offers , 1986 .