Abstract
In recent years the number of M & As has increased in Japan. A Take-Over Bid (TOB) is one method employed to purchase a listed company. Various studies have been undertaken to elucidate the conditions under which a TOB will succeed. However, no study has reported what kind of strategy is needed so that a TOB has meaning as an investment. We have already shown that we can find an appropriate strategy by assuming an action model of a stockholder in a TOB. In this report, we aimed to applying our approach to real TOB data. We derive a stockholder action model from real data and show how to arrive at optimum buying prices by considering the effect of synergy after a M & A. As a result of this study, we obtained results showing that a TOB carried out for the acquisition of a majority interest does not always achieve the maximization of corporate value. Not so many shares are needed when the effect of the resulting synergy will be small. The optimum premium differs according to the characteristics of the stockholder action model.
