Voluntary Disclosure of Profit Forecasts by Target Companies in Takeover Bids

Niamh Brennan ()

Journal of Business Finance & Accounting, 1999, vol. 26, issue 7‐8, 883-917

Abstract: This paper examines factors influencing voluntary forecast disclosure by target companies, whether good/bad news forecasts are disclosed and the influence of forecasts on the outcome of hostile bids. Disclosure was significantly more likely during contested bids. In agreed bids, probability of forecast disclosure was greater the shorter the bid horizon. In contested bids, forecasts were more likely where there were large block shareholdings, for larger targets and for targets in the capital goods industry. There was a clear tendency to disclose good news forecasts. A significant positive association between forecast disclosure and increase in offer price was found.

Date: 1999
References: Add references at CitEc
Citations: View citations in EconPapers (25)

Downloads: (external link)
https://doi.org/10.1111/1468-5957.00279

Related works:
Working Paper: Voluntary disclosure of profit forecasts by target companies in takeover bids (1999)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bla:jbfnac:v:26:y:1999:i:7-8:p:883-917

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0306-686X

Access Statistics for this article

Journal of Business Finance & Accounting is currently edited by P. F. Pope, A. W. Stark and M. Walker

More articles in Journal of Business Finance & Accounting from Wiley Blackwell
Bibliographic data for series maintained by Wiley Content Delivery ().