英語翻譯
The results of this analysis confirm that stock-based acquirers have relatively high-advertising expenditures prior to the merger,whereascash-based acquirers do not.Finally,although we are largely agnostic about the meansby which advertising may increase stock prices,and therefore benefit the pre-mergerowners,we do attempt to provide some preliminary evidence that may shed some lighton this issue[3].
First,we attempt to relate insider stock OWN with advertising ctivities prior to the stock-based acquisition.If managers attempt to increase stockprices through increased advertising for selfish reasons,they are more likely to do sowhen they have more OWN in their firm[4].The evidence we present in the paper isindeed consistent with this notion.Surprisingly,when we attempt to link the deal ratio(DR; defined as the ratio of the deal value (price paid to the target for the acquisition)divided by the acquirer’s immediate past fiscal-year-end market value of the equity) with advertising expenses prior to the acquisition we do not find any evidence thatsuggests that increased advertising is linked with DRs that are beneficial to themanagers of the acquiring firms.