Essays on Empirical Corporate Finance
On Tuesday 26 October 2021 Damiano Maggi will hold a trial lecture on a prescribed topic and defend his thesis for the PhD degree at NHH.
Prescribed topic for the trial lecture:
«Do Acquiring firms create value for their shareholders?»
10:15 in Jebsen Centre and Zoom video conference
Title of the thesis:
«Essays on Empirical Corporate Finance»
This dissertation investigates three main questions in empirical corporate finance. Specifically, the first two essays focus on mergers and acquisitions, while the third essay focus on market reaction to unexpected brand exposure.
In the first paper, the author investigates whether time invariant characteristics can explain changes in shareholders wealth for different type of acquirers. The results show that for a type of acquirers - frequent acquirers – firm time-invariant characteristics can explain approximately the same variation in return whether they are expressed in percentage or dollar returns. In the second paper, the author investigates the industry wealth effect of acquisitions through three decades.
That is, the second essay explores the evolution of the announcement returns to competitors of the acquirers through time. The author finds that a negative time-trend in competitors announcement returns exists. Furthermore, this time-trend seems to be correlated with non-horizontal mergers and mergers involving a private (non listed) target.
In the third paper, co-authored with Nataliya Gerasimova, the authors investigate the market reaction to brand capital shock using an exogenous shock: the Academy awards ceremony. The authors find that, compared to peers, fashion firms that provide an outfit to a woman presents on the red carpet earn a higher cumulative return following the ceremony. The results show that the market recognizes and incorporate the unexpected brand exposure into the stock price.
12:15 in Jebsen Centre and Zoom video conference
Members of the evaluation committee:
Associate Professor Kyeong Hun Lee (leader of the committee), Department of Finance, NHH
Professor Jean-Gabriel Cousin, Université de Lille
Associate Professor Danielle Zhang, Oslo Metropolitan University
Professor Tore Leite (main supervisor), Department of Finance, NHH
Professor B. Espen Eckbo, Adjunct Professor at the Department of Finance and Professor, Tuck School of Business at Dartmouth.
The trial lecture and thesis defence will be open to the public