On conformance of legal merger duration with Burr type III and XII distributions
AbstractWe consider the concept of a legal merger process definition as an element of its transaction phase. The legal merger duration definitions are presented together with the system of Burr probability distributions as a part of stable heavy-tailed probability distribution family. A characteristics and reasons of choosing Burr distributions of type III and XII are presented too as well as the data collected about Polish merger process market. Finally, statistical reasoning for obtained results and some conclusions and suggestions for future research are presented in the paper.
Act of 15 September 2000. The Code of Commercial Partnerships and Companies [in Polish].
Act of 22 December 1995 on issuing the Journal of the Ministry of Justice [in Polish].
Directive 2005/56/EC of the European Parliament and of the Council of 26 October 2005 on cross-border mergers of limited liability companies, Official Journal of European Communities, no. L 310/1.
Third Council Directive 78/855/EEC of 9 October 1978 based on Article 54 (3) (g) of the Treaty concerning mergers of public limited liability companies, Official Journal of European Communities, no. L 295/36.
Branch B. and Yang T. (2003) Predicting Successful Takeovers and Risk Arbitrage, Quarterly Journal of Business and Economics, vol. 42, no. 1/2, pp. 3–18.
Burr I.W. (1942) Cumulative frequency functions, The Annals of Mathematical Statistics, vol. 13, no 2, pp. 215–232.
Campa J.M. and Moschieri C. (2008) The European M&A Industry: Trends, Patterns and Shortcomings, Working Paper WP-762, IESE Business School - University of Navarra.
Dagum C. (1977), A New Model of Personal Income Distribution: Specification and Estimation, Economie Appliquée, vol. 30, pp. 413–437.
Deng X., Kang J. and Low B.S. (2013). Corporate social responsibility and stakeholder value maximization: Evidence from mergers, Journal of Financial Economics, vol. 110, no. 1, pp. 87–109.
DePamphilis D. (2005) Mergers, Acquisitions, and Other Restructuring Activities. An Integrated Approach to Process, Tools, Cases, and Solutions, Elsevier, San Diego.
Dikova D., Sahib P.R and van Witteloostuijn A. (2006) The effect of acquisition experience, institutional context and national culture on cross-border merger abandonment and completion. Evidence from the international business service industry in 1981-2001, in Academy of Management Best Conference Paper.
Dikova D., Sahib P.R and van Witteloostuijn A. (2010) Cross-border acquisition abandonment and completion: The effect of institutional differences and organizational learning in the international business service industry, 1981-2001, Journal of International Business Studies, vol. 41, pp. 223–245.
Ekelund R.B., Ford G.S. and Thornton M. (2001) The measurement of merger delay in regulated and restructuring industries, Applied Economic Letters, vol. 8, pp. 535–537.
Frąckowiak W. (2009) Mergers and Acquisitions, Polskie Wydawnictwo Ekonomiczne, Warszawa [in Polish].
Herdan A. (2008) Mergers and Acquisitions…Chosen Integration Aspects, Wydawnictwo Uniwersytetu Jagiellońskiego, Kraków [in Polish].
Iannota G. (2010) Investment Banking. A Guide to Underwriting and Advisory Services, Springer-Verlag.
Kleiber C. (2008) A Guide to the Dagum Distributions, in Modeling Income Distributions and Lorenz Curves, ed. D. Chotikapanich, Springer, New York, pp. 97–117.
Kleiber C. and Kotz S. (2003) Statistical Size Distributions in Economics and Actuarial Sciences, John Wiley & Sons, New Jersey.
Netter J., Stegemoller M. and Wintoki M.B (2011) Implications of Data Screens on Merger and Acquisition Analysis: A Large Sample Study of Mergers and Acquisitions from 1992 to 2009, The Review of Financial Studies, vol. 24, no. 7, pp. 2316–2358.
Reed S.F., Lajoux A.R. and Nesvold H.R. (2007) The Art of M&A. A Merger/Acquisition/Buyout Guide, McGraw-Hill, New York.
Ross S.M. (2006) Simulation, Elsevier, New Jersey.
SAS Institute Inc. (2011) SAS/ETS 9.3 User’s Guide, SAS Institute Inc., Cary.
Singh S.K. and Maddala G.S. (1976) A Function for Size Distribution of Incomes, Econometrica, vol. 44, no. 5, pp. 963-970.
Zadora H. (2011) Mergers and Acquisitions on the Capital Markets. Motives, Circumstances and Conditions as well as Procedures, Processes and Structures, Wydawnictwo Uniwersytetu Ekonomicznego w Katowicach, Katowice [in Polish].
The aim of CEREM is to make scientific work available in accordance with the principle of open access. The rules mentioned below are important, as they enable CEREM and its publisher, the WSB University in Wrocław, to distribute the scientific work to a wide public while complying with specific legal requirements, at the same time protecting the rights of the authors.
The author transfers to the WSB University in Wrocław, free of charge and without territorial limitations, with all proprietary copyrights to the said piece of work in the understanding of the act of 4th February 1994 on copyrights and derivative rights (Journal of Laws of 1994, no. 24, item 83, as amended) on an exclusivity basis, i.e. the rights to:
1. Make the piece of work in question available via the Digital Library established by the WSB University in Wrocław.
2. Produce, record and reproduce in multiple copies the piece of work using any techniques whatsoever, including printing, reprography, magnetic recording and digital processing, and particularly its reproduction by recording on CDs and similar data carriers,
3. Use fragments of the piece of work for promotional purposes in publications, promotional materials, the Internet and Intranet type networks managed by the WSB University in Wrocław.
4. Store the piece of work into computer databases managed by the WSB University in Wrocław.
5. Copy and reproduce the piece of work using photo-mechanic technologies other than those commonly known at the time of the signature hereof (photocopies, Xerox copies etc.),
6. Process the piece of work, transferring it into an electronic form, and distribute it on the Internet without limitations.