Author : Frederick Amon Adjei
Release : 2006
Genre :
Kind : eBook
Book Rating : 061/5 ( reviews)
Book Synopsis Two Essays on Reverse Mergers by : Frederick Amon Adjei
Download or read book Two Essays on Reverse Mergers written by Frederick Amon Adjei. This book was released on 2006. Available in PDF, EPUB and Kindle. Book excerpt: An investigation of the effects of various features proposed as indicators of firm survival following reverse mergers is conducted using the accelerated failure time (AFT) model. The results imply that large, high performance, and low risk private firms that engage in reverse mergers will have longer survival time in the aftermarket. The use of a financial advisor as well as venture capital backing lengthens survival time. Additionally, the most probable delisting time of an average reverse merged firm is in the 24th month with a probability of delisting of 5.69 percent. For NASDAQ reverse merged firms, the maximum probability of delisting is 5.75 percent in the 23rd month and for NYSE/AMEX reverse merged firms; the maximum delisting probability is 5.37 percent in the 27th month.