This study examines the relationship between abnormal stock returns around acquisition announcements and the ownership structure of the buyers on the Stockholm Stock Exchange. Previous research has been focused on the impact of family ownership to market reactions around acquisition announcements. This study, however, performs a comprehensive analysis of the three most common owner types in Sweden: family, institutional and foreign owners. To measure the relationships between market reaction and ownership, an event study is carried out which measures the cumulative abnormal returns (CAR) for Swedish firms six days [-1,+5] around the acquisition announcements. Through a sample of 296 listed Swedish firms and 1145 acquisition announcements during 2015-2023, the results show a positive relationship between family ownership and acquisition announcement returns. For foreign ownership, we found implications for a negative relationship with announcement returns and for institutional ownership no relationship was found. In all, the findings imply that the ownership structure of the acquirer impacts the market reactions to acquisition announcements in Sweden.
| Identifer | oai:union.ndltd.org:UPSALLA1/oai:DiVA.org:uu-533985 |
| Date | January 2024 |
| Creators | Carlström, Olof, Eriksson, Philip |
| Publisher | Uppsala universitet, Företagsekonomiska institutionen |
| Source Sets | DiVA Archive at Upsalla University |
| Language | English |
| Detected Language | English |
| Type | Student thesis, info:eu-repo/semantics/bachelorThesis, text |
| Format | application/pdf |
| Rights | info:eu-repo/semantics/openAccess |
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