Graduation Year
2020
Date of Submission
12-2019
Document Type
Campus Only Senior Thesis
Degree Name
Bachelor of Arts
Department
Economics
Reader 1
George Batta
Terms of Use & License Information
Rights Information
Connor B Lehner
Abstract
This study compared the returns to acquirers from purchasing divested assets and full-scale acquisitions. Merging acquisition details with CRSP stock data and Compustat balance sheet information, I find that divested assets are positively associated with 3-day abnormal cumulative returns but is insignificant. My results are clustered to year in order to explain any correlations across years that could affect 3-day cumulative abnormal returns. This study contributes to the interaction between asset fit and divested assets by finding an opposite effect than past studies.
Recommended Citation
Lehner, Connor, "Do Divested Assets Outperform Full-Scale Acquisitions in the Short-Run?" (2020). CMC Senior Theses. 2338.
https://scholarship.claremont.edu/cmc_theses/2338
This thesis is restricted to the Claremont Colleges current faculty, students, and staff.
