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arXiv · 2401.02681

Displaying risk in mergers: a diagrammatic approach for exchange ratio determination

Alessandra Mainini·Enrico Moretto·Daniela Visetti
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Abstract

This article extends, in a stochastic setting, previous results in the determination of feasible exchange ratios for merging companies. A first outcome is that shareholders of the companies involved in the merging process face both an upper and a lower bounds for acceptable exchange ratios. Secondly, in order for the improved `bargaining region' to be intelligibly displayed, the diagrammatic approach developed by Kulpa is exploited.

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Alessandra Mainini, Enrico Moretto, Daniela Visetti. 2024-01-05. Displaying risk in mergers: a diagrammatic approach for exchange ratio determination. https://arxiv.org/abs/2401.02681

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